The Detroit Auto Show opened today almost a year after US automakers GM and Chrysler went into bankruptcy.  The theme for all automakers this year was small and economical - it seems the US automakers finally got the message.  Honda released its new CR-Z, a sporty hybrid meant to compete with Toyota’s less flashy, but market leading, Prius. The CR-Z unlike other hybrids will be able to cycle between three drive modes: sport, normal and economy.  The sport mode doesn’t come without a consequence as estimates for gas mileage are 36 city/38 highway compared to the Prius’ 51 city/48 highway.

Europe’s second-biggest car make, Peugeot, had its own revelation.  In a statement released today the Paris-based manufacturer reported falling sales of 2.2% for the last year.  Peugeot stated their sales were in a 14% slump in the first half of 2009, but were aided in incentive based programs similar to the US’ Cash for Clunkers.  The execs at Peugeot forecasted a recovery in the auto market outside of Europe, but were more dismal for their home market of Europe.  Peugeot Executive Vice President Jean-Marc Gales prophesied for next year,  ”a single-figure decline is probable, with the drop more like 8 percent than 2 percent.”

In broader news for the day, China reported increased lending for the beginning of 2010 and higher import and export growth for December.  The government seems to be sticking to its stance of support as China’s Finance Minister Xie outlines his viewpoint, “In 2010, active fiscal policies will continue, and this means we cannot weaken the intensity of fiscal support for economic development, avoiding the losses to our achievements that would come from an excessively early exit”