smart Puts formore Crossover on Hold

DaimlerChrysler Division Reconsidering Strategy with European Sales Sagging

It's not unusual to hear about automobile manufacturers entering 'surprise' vehicles for global car shows, but the complete

DaimlerChrysler AG has put development of its smart formore crossover SUV on hold. (Photo: DaimlerChrysler Canada)

opposite is true for brands pulling announced models out of these events.

According to Automotive News Europe, DaimlerChrysler AG has put development of its smart formore (lowercase intentional) crossover SUV on hold. The formore, based on the forfour five-door hatchback, was the vehicle that smart was going to use to usher the brand name into the United States in 2006.

But sales are extremely slow in Europe (see news archive for Nov 25, 2004: smart

While smart sales have been brisk in Canada, they have been extremely slow in Europe. (Photo: DaimlerChrysler Canada)

May Be Riding High in Canada but Sales Suffering in Europe), where the microcar brand should be doing best, which may have led to the smart's hesitation in debuting the new SUV.

Heinz Gottwick, director of communication at smart, confirmed the delay, saying that CEO Ulrich Walker is reviewing and reevaluating the strategy for smart's products. Suppliers were told that there would be a three-month pause for further vehicle development. Some forms of testing are said to still be green-lighted.