At Frankfurt, Supercars and Superminis

In addition to the usual head-turning sports cars and micro-cars, this year's Frankfurt auto show offers a slew of new fuel-efficient SUVs

by Gail Edmondson

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Global automakers vying for the spotlight at this year's Frankfurt auto show, which runs from Sept. 13 to Sept. 23, are all going to be pushing green cars. But just because they are fuel-efficient, don't expect to see pokey little cars that are badly styled or boring to drive. This is Europe, after all.

And fuel-saving technologies won't be the only show-stoppers at the biannual Internationale Automobil-Ausstellung, to give the event its proper German name. Luxury automakers will unveil super sports cars with ever more power, European brands will show a slew of new baby SUVs and crossovers—a booming segment that combines space with fuel economy—and the race is on to build micro-cars for the city as well as low-cost models for emerging markets.

European automakers have always excelled at the two extreme ends of the automotive spectrum—super sports cars with voluptuous lines and extreme power, and innovative small vehicles with benchmark fuel economy. Both segments are expanding as automakers target subsets of buyers with niche vehicles. Even the once-homely midsize sedan is primed for a renaissance in Europe, where automakers such as Ford of Europe and Renault are launching midsize models with design verve, handling, and technology that are not so different from a BMW (BMWG) or Audi (NSUG)—and more fuel-efficient than ever.

Movie Star Cars

Among the dazzling new supercars, Porsche (PSHG_P) will show the 911 GT2 (BusinessWeek.com, 7/19/07), the most powerful 911 ever built, equipped with a 530-horsepower turbocharged engine and innovative engineering that allows up to 15% better fuel mileage than its predecessor. Porsche also ups the horsepower on the new Cayenne GTS, its hot-selling SUV, by 20 to 405.

The pavement-tearing Aston Martin DBS, which starred in the 2006 James Bond film Casino Royale, becomes available for normal mortals. Ford (F) will unveil the new Jaguar XF (BusinessWeek.com, 8/28/07), a sporty sedan with a totally new design look—a more aggressive and sensual silhouette than previous Jaguars built under Ford's ownership. The top-of-the-line engine for the Jaguar XF, which goes on sale in September, is a 416-hp V8.

And Audi will give visitors a teaser glimpse of its monster 580-hp, twin-turbocharged, 5.2-liter V10 RS6—the high-performance version of its popular A6 sedan (BusinessWeek.com, 2/1/06), set to go to showrooms in 2009, and with a price tag of around $90,000.