With some reserves of crude oil expected to run dry in the next two decades, experts predict drastically higher gasoline prices in the near future. This means that cars will have to be far more fuel-efficient. Super-small microcars with tiny gasoline or diesel engines, electric motors, or some combination thereof, might solve this not-so-far-off problem.

For one manufacturer, the future is now.
Swatch, famous for its artsy Swiss watches, joined Mercedes over a decade ago to create the Smart (an acronym for Swatch Mercedes ART). Now, a division of Mercedes-Benz has released the Smart ForTwo in the U.S. market, highlighting the car’s ability to achieve an average of 33-mpg average in city driving. Car & Travel wondered how the diminutive car, which has sold as an urban vehicle in Europe since 1998, would perform in day-to-day driving here. The answer proved surprising.

From the outside, the Smart ForTwo looks like the kind of funny little car that clowns pile into at a circus. At just 8.8 feet in length, the Smart is only as long as most vehicles are wide.  What many overlook about the little car is that it’s actually very tall. Passengers sit about eight inches higher than they do in an average car, so the interior feels airy. An expansive windshield gives a commanding view of the road. Hit the switch to retract the convertible top in our cabriolet, and a huge opening to the sky makes the little car feel even roomier.

Since most people drive alone or with just one passenger, the car was designed as a two-seater. Initially, Swatch handled the interior, which, depending on buyer preference, can be tastefully dressed in bold colors, graphics and fabrics befitting cutting-edge design.
 
The AAA-advised glance to the rear flanks to check your blind spot is unnecessary since the car ends just behind your shoulder. The commuter-friendly car also has a small cargo area that accommodates a few grocery bags or other sundry items.

Safety always is a major concern in such small cars, and Mercedes’ engineers went to great lengths to ensure its occupants’ protection in a crash. The car’s design incorporates a safety cell, reinforced with high-strength steel, that forms a protective cocoon around the Smart’s occupants. Double-plate steel in the floor helps protect the driver’s feet from intrusions. The high seating position was designed to insulate passengers from injury during a side crash by keeping them above the impact point. As a result of these innovative designs, independent crash tests have found that the little Smart protects its occupants very well.

Electronic Stability Program and anti-lock brakes are included as standard equipment to help prevent crashes, which makes sense.  The Smart is a car that you should use to actively avoid crashes, rather than attempt to survive them. With its engine and transmission located over the rear wheels, the Smart’s weight is concentrated in the rear to provide extra traction. The engine’s location, resulting extra grip and rear-wheel drive make for good handling. The short wheelbase
provides excellent cornering ability.

Push the car too hard in a turn, however, and its front end will plow, but applying more power helps balance the car. Steering is quick, and changes in direction feel instantaneous; this helps you easily avoid inattentive drivers and other potential mishaps.

While the short wheelbase might be great for cornering, it’s a handicap to straight-line stability. Droning along the highway at 60 mph, the Smart feels very twitchy. You stay busy applying small steering inputs to keep going straight and must concentrate more as speed increases. It’s not an overly intrusive sensation, but you have to stay focused when driving, similar to the attitude needed when operating an SUV.

Despite its low power, the Smart’s light weight and low final drive ratio—a feature that provides quicker acceleration—enable the three-cylinder, 70-horsepower engine car to pull away with some pep. But the automatic transmission took a long, long time to change gears when accelerating, resulting in slow overall pickup. Another problem: When we shifted the automatic out of park to reverse, the car didn’t move. The shift indicator on the instrument panel showed we were in neutral. Moving the shifter back and forth a couple times was usually enough to find reverse.

As expected, mileage proved very good. We averaged about 40 mpg, which easily beats most hybrids. However, hybrids have back seats and trunks, which makes them more practical for most people. Not that the Smart lacks  practical value. Its finest feature is its ability to transport people on so little gasoline. Its surprisingly good driving  manners, groundbreaking concept and design and the expansive convertible top in the cabriolet, also make the Smart an intelligent car whose raison d’être lies not in the future but in the present.

Dimensions
Wheelbase/Length . . . . . . 73.5 in./106.1 in.
Width/Height . . . . . . . . . . 61.3 in./60.7 in.
Track (front/rear) . . . . . . . .50.5 in./54.5 in.
Headroom . . . . . . . . . . .  .39.7 in.
Legroom . . . . . . . . . . . . . 41.2 in.
Shoulder room . . . . . . . . .48
Curb weight . . . . . . . . . .. . 1,852 lbs.
Passenger volume . . . . . . 45.4 cu. ft.
Cargo volume . . . . . . . . . .  7.8 cu. ft.
Fuel-tank capacity . . . . . . . 8.7 gallons

Specifications
Engine . . . . . . . . . . . . . . . .1.0L I3
Horsepower . . . . . . . . . . . .70 @ 5,800 rpm
Acceleration . . . . . . . . . . . . 0-60 mph 12.8 sec.
Braking . . . . . . . . . . . . . . .60-0 mph 130 feet
EPA city/highway .  . . . . . .33/40mpg

Warranties
Bumper-to-bumper . . . . . . . 2/24,000
Powertrain . . . . . . . . . . . . . 2/24,000
Rust-through . . . . . . . . . . . 4/50,000

Competitors:
Honda Fit, Mini Cooper, Scion xD

Note: Looking to buy a new or pre-owned vehicle? Check out our Auto Buying Program. For crash-test data from the Insurance Institute for Highway Safety, click here.