Peugeot 308 R concept (2013) at Frankfurt motor show

The Peugeot 308 R could be the biggest hint yet that Peugeot is getting its mojo back. Carrying the RCZ concept’s styling into production was a good start, and the new 208 GTi is a pleasantly surprising hoot, but for bigger smiles you’ll want this: a 270bhp, carbonfibre-clad hot hatch that’ll give an Audi S3 a fright, and leave a Golf GTI in its tyre tracks. The catch?

News watch December 2012: today's auto industry news

Welcome to CAR Magazine's news aggregator as we round up the daily stories in the auto industry. Top tip: news summaries are added from the top hour-by-hour Monday 31 December 2012• Despite reports earlier this month that shareholders valued Mercedes-Benz at half that of its luxury rival BMW, Mercedes CEO Dieter Zetsche has remained bullish about his ambitious targets for the carmaker's growth. 'I am confident that we will be ahead of our rivals by 2020 at the latest,' he told German newspaper Boersen-Zeitung in an interview.

Honda loses case over Civic hybrid mileage

Honda was ordered to pay $9,867 in a Los Angeles Small Claims Court lawsuit to a woman who says her Civic hybrid didn't get the fuel mileage that was advertised, according to Bloomberg News. “I am absolutely thrilled at the reports that I won, even though I won't see the actual judgment until it comes in the mail,” Heather Peters said in an e-mailed statement on Wednesday to the wire service. “It's a victory for Civic hybrid owners everywhere.” Peters opted out of a class action and filed her own case in small-claims court, where plaintiffs and defendants represent themselves.