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Ford bets customers will pay premium prices for the Fiesta

Ford Motor Co. will charge more than $23,000 for a fully loaded Fiesta, a new car smaller than the Focus. Ford thinks consumers are ready to pay premium prices for small cars, which long have been dominated by budget shoppers.

Mercedes-Benz to launch teen driving school in Los Angeles

Mercedes-Benz is set to launch its first U.S.-based teen driving school in Los Angeles this October. The school will be modeled after one Mercedes launched in the United Kingdom in 2009. A full driver's-education program will incorporate training online, in the classroom and behind the wheel.

Video: Fiat creates café racer 500 for SEMA

Fiat is preparing a café racer-style 500 for this week's SEMA show by stripping down an Abarth version to take it "down to the essence of what you need to drive a car." The café racer philosophy of ‘more speed, less comfort' was born around the 1960s British 'biker scene and while initially focussed on increasing performance, quickly developed into a culture as concered with 'the show' as 'the go'. "It takes something like this to really get noticed at SEMA," says Craig Buoncompago, Project Manager at Fiat Product Design. "The Café Racer is really going to be one special car that you guys should really come and see." The 500's roof has been chopped, while also shorn of its door handles and being fitted with hot rod billet rims.