
The Smart car brand was originally a joint venture between Mercedes-Benz and watchmaker Swatch, with the vehicles manufactured by Mercedes-Benz. Today, the company that makes Smart cars is Geely Auto Group, the Chinese multinational automotive giant. After a complex ownership history, Geely now owns a 50% stake in the Smart brand and is responsible for its production and global strategy.
The classic "Smart Fortwo" city car, known for its incredibly short wheelbase and tight turning circle, was built by Mercedes-Benz. However, the brand has been completely reinvented. The new generation of Smart vehicles are fully-electric premium compact cars and SUVs, developed on Geely's sustainable experience architecture (SEA) platform. This shift marks a significant departure from the tiny two-seaters to more mainstream, tech-focused family vehicles.
The collaboration leverages strengths from both companies: Geely's expertise in electrification and manufacturing efficiency, and Mercedes' design influence, particularly from its internal EQ line of electric vehicles. The first model under this new partnership, the Smart #1, is produced in China. For consumers, this means Smart has transformed from a niche urban runabout into a contender in the competitive compact EV segment, offering modern features like a large touchscreen and advanced driver-assistance systems.
| Key Milestone | Company/Entity Involved | Role in Smart Car Production |
|---|---|---|
| Initial Concept & Founding (1994) | Swatch (Nicolas Hayek) & Mercedes-Benz | Joint venture to create an ultra-compact, efficient city car. |
| Primary Manufacturer (1998-2019) | Mercedes-Benz (Daimler AG) | Designed, engineered, and built the original Fortwo and Forfour models. |
| Global Strategy Reset (2019) | Geely Auto Group & Mercedes-Benz | Formed a new joint venture to relaunch Smart as a fully electric brand. |
| Current Production & Development | Geely Auto Group | Manufactures new models (e.g., Smart #1, #3) on its proprietary EV platform. |
| Brand Positioning & Design | Mercedes-Benz | Leads on design, with final styling approval for new models. |

Mercedes-Benz was the main company behind the classic little Smart car you'd see zipping around city streets. But it’s a totally different story now. The brand got a full reboot. These days, it’s Geely, a huge Chinese automaker, that’s actually building the new Smart cars. They’re all electric now and look more like slick crossovers than the tiny two-seaters from before. It’s a partnership, but Geely is the one doing the manufacturing.


