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Chevrolet Sonic

The Sonic is Chevrolet's latest attempt to induce a small car in the American market and take on the Ford Fiesta in one fell swoop. Replacing the generally unaccepted Aveo, the Sonic draws from a youthful and aggressive design in a bid to appeal to the younger market. Available as a four-door sedan (seen here) as well as a five-door hatchback, the Sonic displays a 'progressive exterior design', according to the American brand's press materials.

British driver breaks speed record for steam-powered car

One of the world's oldest speed records has gone up in smoke--or rather, steam. Charles Burnett III drove a steam car to an average speed of 139.843 mph over two runs in California to beat the 103-year-old record of Fred Marriott. Burnett peaked at 136.103 mph on the first run, then he accelerated to 151.085 mph on the second run less than an hour later.

Obama calls for shared sacrifice in auto bailout

President-elect Barack Obama says he wants to keep tough conditions on automakers that get federal loans. The companies must develop sustainable business models because it would be unacceptable "to keep them on their lifeline through taxpayer dollars in perpetuity," Obama told The Washington Post. Obama said industry restructuring will require "everybody, from labor to management to creditors to shareholders, giving something up." His comments contradict suggestions that the new administration will relax federal loan agreements reached last month with General Motors and Chrysler LLC, possibly with softer demands on the UAW.