WASHINGTON (AP) - Smart USA has no plans to offer a diesel-powered version of its Fortwo micro car in the United States, the division's president said Wednesday.

Dave Schembri of Smart USA said the gasoline alternative has not been in its plans because strict regulations in the U.S. would make it difficult to sell a diesel car in all 50 states.

"We tried to get the right mix between performance and fuel economy and the diesel engine doesn't provide the kind of performance, I think, that would meet the expectations of the U.S. consumer," Schembri said at a luncheon of the Washington Automotive Press Association.

Smart is currently developing a gas-electric hybrid vehicle and testing electric vehicles in London that could be available in the fleet within the next three years, he said.

Smart, a division of Daimler AG's Mercedes-Benz brand, began selling the 8-foot, 8-inch cars in the U.S. in January. The 1,800-pound car gets 33 miles per gallon in the city and 41 miles per gallon on the highway.

Schembri said Smart has received more than 30,000 reservations for the vehicle, with customers putting down $99 to reserve a car. The company has not released production numbers for the year.

He said the average wait for a Fortwo is about a year, although the amount of time can vary depending on the region of the country. When someone reserves a vehicle online, they can check the Smart Web site 24 hours later to receive an estimate of when the car will be delivered.

"We're doing the best we can to meet demand, however, quality is far more important than quantity," he said.

Seventy of Smart's planned 74 dealerships in the U.S. have opened and the remaining dealerships will be operational later this year, Schembri said.

Source: www.canadianbusiness.com Ken Thomas
April 16, 2008 - 5:12 p.m.