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Minicars perform poorly in crash tests, study says

Minicars made by Toyota, Honda and Daimler AG did poorly on frontal crash tests with mid-sized automobiles, prompting an influential safety organization to suggest consumers consider buying larger cars that have comparable fuel economy. The Toyota Yaris, Honda Fit and Smart ForTwo all collapsed upon impact into the space around the driver dummy, according to the study released today by the Insurance Institute for Highway Safety. Drivers in all three vehicles faced high risk of head and leg injuries after test collisions at 40 miles an hour, even after airbags inflated, said the non-profit group funded by auto insurers.

Mercedes-Benz backs Smart with ads, deals

Smart USA will launch a TV, print and digital marketing campaign by year end to jump-start the struggling microcar brand that Mercedes-Benz USA took over on July 1. "People are not avoiding the brand or the product, but there is a great majority of people who are not aware of the brand," said Tracey Matura, the new general manager of Smart USA. Mercedes is also offering lease and finance deals for the Smart brand through its Mercedes-Benz Financial Services captive finance arm.

Ford sends Mustang, Edge to Europe

Ford plans to export the Mustang to Europe, and it will likely be the next generation of the famous pony car due within a couple of years. It has also shown redesigned compact and full-size vans it will sell in the United States by 2014. The automaker also showed a lightly restyled Fiesta and a high-performance ST model that go on sale in Europe later this year.