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Small seems to be the big new trend among automakers, and Mazda is trying to decide if it wants a piece of the potentially huge tiny-car pie.

UPDATE: This is not a prototype for the Mazda1, it is a Chinese-market Haima subcompact based on the Mazda2. Thanks to everyone who sent in the correction

Mazda's smallest car has been spotted undergoing testing in France wearing very light camouflage. The Mazda1 is expected to slot in under the 2 and may have a powertrain like the one in last year's Kiyora concept. That model used a direct injected 1.3-liter four cylinder with a new, more efficient automatic transmission. The engine incorporated Mazda's intelligent start-stop system. This system uses the direct injection system to re-start the engine automatically without a starter motor. The eng

Click above for a high-res gallery of the Mazda Kazamai concept

High energy costs and growth in emerging markets have automakers scrambling to downsize their product plans, and ultra-small transportation like the VW up! is bound to bring low-cost city cars to the masses. Mazda intends to be a serious player in this burgeoning segment and will unveil the Mazda1 concept in Paris this fall, expected to look like the sketch above and influenced by the Nagare design language.

At October's Paris Motor Show, Mazda will be the latest manufacturer to unveil a new city car with the new 1. Based on this initial sketch, the micro sized 1 will apply the swoopy lines seen the company's recent concepts and apply them to a competitor for the VW up! and Toyota iQ. The concept version that will be shown in Paris may have sliding doors to ease entry and exit. In concept form, power may come from fuel cells and batteries although the production version will probably have either a s

Click above for a high-res gallery of the Mazda Taiki concept.

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