Optimism, 'green' cars shine at Detroit auto show

"This is the feel good movie of the year," Barron Meade, the show's chairman, said at the opening ceremony.

GM and Ford scored an early win after the Chevy Volt plug-in hybrid and Ford Explorer sport utility vehicle were named the North American Car and Truck of the Year by an association of automotive journalists.

Ford introduced a family of 10 new-generation, fuel-efficient smaller cars, including an all-electric version of its Focus and two hybrids, and announced plans to hire 7,000 new workers as it expanded production to meet rising demand.

"Ford is doing the same thing that my great grandfather did with the Model T," said Bill Ford, executive chairman of Ford.

"We are bringing leading-edge technology to the market on a larger scale. We are offering a range of electrified vehicles."

Chrysler, which did not even host a press conference at the show last year because its product offerings were so old and weak, unveiled a totally new version of its popular 300 sedan after a one-billion-dollar makeover along with several other new models.

"It's time for Chrysler to come back," Olivier Francois, chief executive officer of the Chrysler Brand, told reporters.

"The all-new 2011 Chrysler 300 is an icon of American ingenuity and symbolises the greatness Detroit-designed vehicles offer the streets, highways and boulevards of the world."

GM introduced a new compact Buick and launched its new subcompact -- the Chevy Sonic -- at a reception celebrating the 100th anniversary of the Chevrolet brand.

The Motor City has been under the pall of the Detroit Three's decline amid a steady loss of market share to Asian rivals and the worst economic downtown in decades.

But after hitting rock bottom in 2009 with sales at their lowest level since the recession of 1983 and GM and Chrysler forced into a government-backed bankruptcy, sales began to improve in 2010 and the drastically leaner Detroit Three are reaping the rewards.

GM posted a two-billion-dollar third quarter profit and then launched the biggest initial public stock offering in history in November.

Chrysler managed to increase its market share in 2010 and is expected to post a net profit this year.

Ford, the only one of the Detroit Three to survive the deepest downturn in decades without government aid, regained the number two spot in the US market from Toyota for 2010 after its share grew for the second year in a row.

With sales forecast to grow significantly both in the United States and worldwide, and Toyota still smarting from a series of mass recalls, the prospects for big gains are good.

The competition is fierce.

More than a dozen automakers vied for the attention of 4,500 journalists Monday with the presentation of 30 to 40 worldwide debuts.

Toyota unveiled new siblings for its popular Prius hybrid -- a brand new midsized wagon, a plug-in electric hybrid and a stylish new compact Prius aimed at the younger market.

"I've got to tell you, with gas prices heading toward four dollars a gallon and Prius sales rising I'm really glad this new family is coming," said Bob Carter, Toyota Division group vice president and general manager.

Volkswagen introduced its highly-anticipated new Passat sedan -- which will be built at a new factory in Tennessee -- as it works to ramp up sales in the world's second largest automotive market amid a strategy to overtake Toyota for the top spot worldwide.

Hyundai -- which saw US sales jump 24 per cent to more than half a million vehicles last year -- introduced its funky new three door Veloster coup and unveiled a new brand statement: New Thinking. New Possibilities.

Luxury car fans also got plenty to see at the show.

Porsche has returned after a four-year absence with the introduction of a new Spyder coupe, BMW is showing several new models including the 650i convertible, and Daimler introduced a new Mercedes-Benz C class sedan. Audi and Bentley also made an appearance.

The North American International Auto Show opens to the public January 15 and runs through January 23.