Nissan Claims It's the New Low-Price Leader With 2009 Versa Sedan 1.6

This new base Versa has a smaller-displacement 1.6-liter inline four-cylinder engine than the standard 1.8-liter four-cylinder Versa 1.8 S model. The smaller engine delivers 107 horsepower, 15 fewer horses than the 122-hp 1.8-liter engine. The Versa sedan 1.6 gets a standard five-speed manual transmission.

It also gets a $3,000 price cut versus the Versa 1.8 S. The Versa sedan 1.6 starts at $10,685, including a $695 destination charge. The base 2009 Versa 1.8 S is priced at $13,685, including shipping. In its press release, Nissan notes that the Versa sedan 1.6 has a $9,990 MSRP, just squeaking under the psychologically critical $10,000 barrier, although no vehicle is sold in the U.S. without a destination charge.

Nissan says the Versa sedan 1.6 gets 26 mpg in city driving and 34 mpg on the highway with the five-speed manual transmission. The EPA has yet to rate the Versa sedan 1.6 on its Web site. In comparison, the Versa 1.8 S with a four-speed automatic transmission gets 27 mpg in city driving and 33 mpg on the highway, according to the EPA. The two vehicles thus are virtually a toss-up for consumers who are seeking fuel efficiency.

Nissan explains that the new version of the Versa "combines the low price of a used car with the dependability, high quality and full factory warranty of every new Nissan."

Although not all 2009 pricing is available, it appears that Nissan does indeed hold the title of cheapest car in America — for the time being. Close competitors include the 2009 Hyundai Accent two-door GS hatchback, which is priced at $11,745, including a $675 destination charge, as well as the 2009 Chevrolet Aveo LS sedan, which starts at $12,120, including a $660 destination charge.

Inside Line says: This may be the start of a cheap-car trend, as automakers jockey for what was once the dubious title of "cheapest car in America." It's a crown they may wear with pride as the recession lingers. — Anita Lienert, Correspondent