Small, urban-friendly cars are big right now: Audi recently launched the B-segment A1, BMW is garnering headlines with its megacity vehicle, and even GM is pondering a similar car: We hear that the Cadillac ULC concept may resurface as a production model under another of the General’s brands. Daimler has of course had such a vehicle in its lineup for more than a decade: the Smart, which you know as an oversized shopping cart that ignited interest here for a couple of months before completely falling off the radar. (Yes, they still sell Smarts in the U.S. They try to, anyway.)

But since that car isn’t very good, we welcome news that Mercedes has recently revealed a few early proposals for its own "megacity car"—M-B is indeed using the same nomenclature as BMW to describe its potential urban runabout. While actual series production lies far into the future—there’s not even an official development project yet—the company's design studio in Yokohama is dedicating a great deal of effort to the exploration of a small and lightweight city car. The choice of Yokohama makes sense, as that city (like most in Japan) is positively drowning in traffic, and Japan is still rightfully considered the microcar leader among Asian countries.

We Vote for the Water Bug-a-Ma-Jig

We still find it hard to take a few of the proposals with a straight face, even as Mercedes insists it is serious about all of them. Among the more odd ideas taking shape in Japan is the "Maybach" proposal, which is supposed to evoke a Fabergé egg hinged between two giant wheels. There also is the "Water Spider," which would allow drivers to escape traffic jams by simply driving from the road into water.
Maybach concept

Others actually seem like stuff that could hit the road in a few years. Closest to a real product is a clay scale model that hints at an upcoming four-seat megacity vehicle positioned below the A-class. While it’s possible the model could be sold as a Smart or as a Mercedes-Benz—or under both brands—for now it proudly wears the three-pointed star. The current mockup is characterized by a flowing design theme that resembles that of the latest CLS and the F800 and B-class concept cars. It certainly doesn't resemble a Smart.

Conventional, Electric, and Fuel-Cell Powertrains Possible

Many of these concepts are "electrically powered," which of course eliminates the need to package a conventional powertrain and ostensibly allows more room in the passenger compartment. But in order to reduce costs, Mercedes likely will co-develop the final car with Renault-Nissan on a new platform that would be flexible enough to accommodate a conventional powertrain as well as a fully electric one.
Cadillac Urban Luxury Concept

A hydrogen fuel cell is another possibility. While the range limitations of electric cars make them best suited to urban use, using a fuel cell provides extra range if you want to leave the city, as well as eliminates the need to plug in the vehicle at night. Daimler is the largest shareholder in the Automotive Fuel Cell Cooperation (AFCC), and given that the fuel-cell B-class is currently being leased to select customers, we'd be surprised if Mercedes didn't strongly consider this option for its megacity vehicle.
2013 BMW Megacity Vehicle

Applying the “megacity” moniker here is a clear shot at BMW, whose small car will hit markets in 2013 or 2014 and will use a carbon-fiber passenger cell. But even as the company closely watches BMW’s experiment with mass-market carbon fiber construction, the Daimler small car (or cars, if more than one model moves into development) is likely to employ more traditional materials, especially if a platform shared with Renault-Nissan is used. Figure on 2015 or later for the on-sale date of any new Mercedes city car.