Chinese automaker halts Smart look-alike

To avoid lawsuits, Shandong Huoyun will rework the City Spirit.

Company: A toy Smart car was used for the design

Namrita Chow | | Automotive News / November 13, 2006 - 1:00 aSHANGHAI -- A small Chinese automaker stopped production last month of a two-person electric car after DaimlerChrysler AG complained that it looked too much like its Smart car.

Shandong Huoyun Electromobile Co., based in the eastern coastal province of Shandong, started production of the City Spirit in August.

Shandong Huoyun used a toy model Smart car purchased via the Internet to help with the design, the company says. "We definitely did not expect our car to resemble the original," says Wang Fei, an executive at Shandong Huoyun.

To avoid lawsuits, the company will rework the car. Wang says it will be shortened by 7.9 inches. Engineers also will change the doors, rear end and cargo capacity.

The City Spirit got into trouble when a manager at a trading company, China National Machinery & Equipment Import and Export Corp., described it as a Smart car in a magazine interview.

In the German Autobild magazine, Jerry Chen, international sales manager at China National, was quoted as saying, "Our city centre Smart was developed exclusively for Europe."

In an interview later, Chen said his company stopped selling Shandong Huoyun vehicles after receiving a letter from DaimlerChrysler. He declined further comment.

Established in 2001, Shandong Huoyun has 150 employees, including 31 mid- and high-level engineers. It makes a range of golf cars, electric minicars and all-terrain vehicles.