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Compact car

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Compact car

Compact car is a vehicle size class—predominantly used in North America—that sits between subcompact cars and mid-size cars. "Small family car" is a British term and a part of the C-segment in the European car classification. However, before the downsizing of the United States car industry in the 1970s and 1980s, larger vehicles with wheelbases up to 110 in (2.79 m) were considered "compact cars" in the United States.

In Japan, small size passenger vehicle is a registration category that sits between kei cars and regular cars, based on overall size and engine displacement limits.

The United States Environmental Protection Agency (EPA) Fuel Economy Regulations for 1977 and Later Model Year (dated July 1996) includes definitions for classes of automobiles. Based on the combined passenger and cargo volume, compact cars are defined as having an interior volume index of 100–109 cu ft (2.8–3.1 m3).

The beginnings of U.S. production of compact cars were the late 1940s prototypes of economy cars, including the Chevrolet Cadet and the Ford Light Car. Neither car reached production in the U.S., however Ford SAF in France bought the plans of the "small Ford" and produced the Ford Vedette.

The first U.S.-produced postwar compact car was the 1950 Nash Rambler. It was built on a 100-inch (2,540 mm) wheelbase, which was nonetheless still a large car by contemporary European standards. The term "compact" was coined by a Nash executive as a euphemism for small cars with a wheelbase of 110 inches (2,794 mm) or less. It established a new market segment and the U.S. automobile industry soon adopted the "compact" term.

Several competitors to the Nash Rambler arose from the ranks of America's other independent automakers, although none enjoyed the long-term success of the Rambler. Other early compact cars included the Kaiser-Frazer Henry J (also re-badged as the Allstate), the Willys Aero and the Hudson Jet.

In 1954, 64,500 cars sold in the U.S. were imports or small American cars, out of a total market of five million cars. Market research indicated that five percent of those surveyed said they would consider a small car, suggesting a potential market size of 275,000 cars. By 1955, the Nash Rambler that began as a convertible model became a success and was now available in station wagon, hardtop, and sedan body styles. During the Recession of 1958, the only exception to the sales decline was American Motors with its compact, economy-oriented Ramblers that saw high demand among cautious consumers.

By 1959, sales of small imported cars also increased to 14% of the U.S. passenger car market, as consumers turned to compact cars. By this time, smaller cars appealed to people with a college education and a higher income whose families were buying more than one car. Customers expected compact cars to provide improved fuel economy compared to full-sized cars while maintaining headroom, legroom, and plenty of trunk space.

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