The Smart ForTwo microcar may look like a novelty, but it's becoming one of the safest bets for Canadian dealers. Since its debut in 2004, the Smart is still selling well and has the highest year-over-year sales growth of any car in the country.
Small cars like the Honda Civic have always been popular in Canada, but the 2.5 meter Smart is opening a new market for micro-cars like itself. One of the obvious reasons for Smart's success is ForTwo's fuel economy - the EPA rates the coupe at a combined 36 mpg. It's powered by a 1.0-liter 3-cylinder engine and is the only non-hybrid eligible for the governments $2000 rebate to promote fuel efficiency. Many expect Toyota to be the biggest competitor for the Smart, should its new iQ reach Canadian shores. The iQ will have the advantage of a backseat thanks to its compact packaging; the Smart ForTwo has no backseat. Cars like the Smart and the iQ are changing people's minds about small cars. IQ chief engineer Hiroki Nakajima said that this new wave of little cars is no mere fad: "when it comes to cars, traditionally, big has always meant good. The iQ radically dispels that notion." Source: Financial Post