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I love my Honda Fit, but I didn't even look at a Smart. The Smart is rated to get a little bit better mileage, but seems nearly useless as a primary vehicle.
The Fit carries 4 people in relative comfort (seriously, those rear seats are roomier than in most small sedans), and if you kick the rear passengers out, the seats fold down to open up a 50+ cubic foot cargo area (57.3 cubic feet, according to Honda). I've made full use of the cargo space multiple times, frequently saving me from the need to rent/borrow a truck or van.
It doesn't get bettr mileage. In real world tests, Fit gets better mileage.
I guess I wouldn't know about the Smart.
I do know that with my stick-shift Fit, I can exceed the EPA estimates all day long when I try.
One big mistake of Smart's was not offering a stick shift in the US. (I think everybody hates the Smart's weird automatic transmission--my brother test drove one and described the transmission as "like driving with someone who's really bad at driving a stick.") They should offer a manual for hyper-milers and driving enthusiasts, and an optional CVT or "dual-clutch" automatic for everyone else.
Another mistake was not developing/modifying their diesel in order to meet our emissions standards in order to offer it as an option here.
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