Honda Motor Co. plans to build three variants of its Fit compact, including a sedan version, at its Mexican plant currently under construction.

The two other variants are the standard hatchback and a Fit-based crossover, said an executive familiar with the plans.

Honda is considering selling all three in the United States, the person said. The company thinks a general shift toward small cars may fuel U.S. demand for a sedan-styled Fit. Honda currently sells a Fit-based sedan, called the City, in Asia.

A Honda spokesman could not be immediately reached Friday morning.

The Mexican factory, scheduled to open in 2014 with annual capacity for 200,000 vehicles, expects to deliver as much 30 percent of its output to the Mexican market, the person said.

In October, Honda President Takanobu Ito told Automotive News the vast majority of the plant’s output would go to the United States. But he declined to give figures.

The outlook implies a big Mexican sales surge for Honda.

In 2011 Honda sold only 36,209 vehicles in Mexico. This year sales were up 53 percent to 42,933 units through October. Adding 60,000 would more than double Honda’s volume.

Honda’s new Mexico plant, its second in the country, plays a key role in Ito’s plan to lift North American sales 18 percent to 2 million units in the fiscal year ending March 31, 2017.

The Fit is expected to be the brand’s fastest growing nameplate in that period, after a redesign scheduled for next year.

Producing the Fit in Mexico will give dealers more Fits to sell unburdened by the unfavorable dollar-yen exchange rate. The arrival of additional body-style variants also will help.

Elsewhere in the world, Honda already sells a Fit wagon, minivan and sedan. Honda has said it plans to add a crossover, but it has declined to say if it would come to U.S. showrooms.

In October, American Honda Motor Co. CEO Tetsuo Iwamura said the Mexico plant will build "multiple" derivatives of the Fit, but declined to specify what versions are planned.

They say, "When you're on a good thing, stick to it." Honda has followed that formula since launching the first Fit back in 2001. And why not? It's worked wonders for the automaker so far, even if Honda of America took three years to wake up to the car's potential and launch it in the US. Now manufactured at 10 plants in eight countries, the Fit has sold more than 4 million units. The second generation, released in 2007, essentially followed the original's design with bolder headlights and grille, and maintained the car's central fuel tank layout and dimensions. But according to the third generation 2015 Fit's chief engineer, Makoto Konishi, "It's time for a big change. That 'good thing' needs to get better." He rallied his R&D team by urging them to create the "Super Cub" of the car world. The Cub was a 50cc motorcycle launched in 1958 that became the biggest seller ever (60 million in 50 years).

The new, polarizing look
We got a chance to test the all-new Fit at Honda's Takasu Proving Ground in Hokkaido, and the car looks better in the flesh than in photos. The front end is stunningly bolder and adds plenty of street cred. It appears to take design hints from the Clarity fuel-call car, the CR-V, and even the new NSX. Design boss Toshinobu Minami says that in designing the new exterior, he wanted to make a strong connection with a market smitten with smartphones and the Internet, a market fascinated by new gadgets. "We had to give the new model a significantly new face and stronger road presence while maintaining its dimensions," Minami said. The face, especially, had to exude 'new.' That is why Honda opted for a more solid face with an "exciting edge design." said Minami. While the design is certainly fresh and new, it will polarize many potential buyers. We're in the "like it" camp. We drove a pre-production model, but Honda said the new Fit has a slightly longer wheelbase (about 2 inches) but retains almost identical length, height, and width.

Honda offered a few laps in the 1.5-liter four-cylinder hybrid with new intelligent dual-clutch drive, the 1.5-liter RS with the six-speed manual transmission, and the 1.3-liter with the new CVT. But before we hit the road, senior handling and ride quality engineer Terumasa Kotada told us Honda benchmarked the Fit on a certain Volkswagen.

"In upping our game, we wanted to make a stronger international competitor, so we benchmarked our Fit on the Polo. The moment you get in the Polo, you notice how low you sit in the car. This instills confidence. And then when you drive the Polo, you notice how low its roll center is and its huge stability levels, instilling even more confidence. To get our desired result, I tested the car extensively on the autobahns in Germany," he said. To give the Fit better road feel, feedback, and stability, Kotada says the car's suspension geometry was redesigned by adding a new H-beam torsion rear suspension setup and a revised front strut. Taking hints from the Polo, toe control and caster angle were revised. The electronic power steering was modified to give the car a more natural steering feel. The end result is really impressive.

On the road, all of these revisions are more than obvious. Sitting marginally lower in the new Fit, you can feel the car's straight-line stability immediately. And yes, as Kotada says, the car does instil more confidence in the driver. In a strange way, the Honda actually feels bigger and more substantial on the road, and turns in like a charm with almost no understeer and loads of feedback. It rolls less while going into corners, and is more stable at speed, gripping the blacktop while the rear follows neatly and cleanly. Under heavy braking, the Fit resists nosedive as the back end stays absolutely planted. "Rear end stability is just one major result of our Polo-inspired suspension redesign," adds Kotada.

Stingy hybrid, speedy RS
Another factor that might increase interest among buyers is the all-new engine range: 1.3-liter gas, 1.5-liter gas, and 1.5-liter hybrid, which all offer twin cams, in comparison to the outgoing model's single cam. Europe is expected to get a diesel as well. Fronting that new engine lineup is the new 1.5-liter, Atkinson cycle, four-cylinder IMA hybrid mated to a new one-motor, intelligent dual-clutch drive combination. Generating 135 hp at 6000 rpm and 125 lb-ft or torque at 5000 rpm, the new hybrid delivers plenty of power with a stratospherically high mileage figure of 85 mpg in Japanese spec, according to Honda. One engineer did admit that in real-world driving situations, that mileage would come down by around 15 percent. The U.S.-spec Fit hybrid should reach at least 55 mpg.

While the new Fit can travel at speeds up to 25 mph on EV-only mode for short stints, the engine integration is seamless and produces performance that clearly outdoes the outgoing model.

Employing a new seven-speed dual clutch transmission, the Fit hybrid accelerates more than adequately, filling the cabin with a sporty exhaust note that has been tuned and silenced -- with sound-absorbing felt -- to delete all human-unfriendly sounds. Honda tells us the new dual-clutch was a direct effort to quell criticism of the car's CVT, which certain quarters said was loud and full of vibration while sapping the car's power. This new transmission is perfectly married to the 1.5-liter and electric motor unit, allowing drivers to grab higher gears instantly and seamlessly through a paddle shift. The 1.3-liter Atkinson cycle four-cylinder unit generating 98 hp and 88 lb-ft boasts the new twin-cam configuration and a new CVT. "Getting the CVT to interact smoothly and quietly with the engine, generating enough power while keeping fuel consumption down was our biggest challenge," says senior drivetrain engineer Hideki Wakamatsu. The new engine generates extra power between 2000 and 3000 rpm.

The 1.5-liter RS sports version mated to a six-speed manual gearbox delivers on Honda's S2000 and NSX heritage. Perfectly matched to the 1.5-liter's high-revving engine, the manual's short throws and tight gate with a pleasing mechanical precision allow for quick, sure gear changes at all speeds. While the Fit's dash design is simple yet functional, it is not in the same class as the Polo when it comes to interior trim, materials, and quality. When you benchmark a car on another, you expect to see significant improvements in all major areas, upgrades that put the new car in the same class. Honda says we can expect to see further refinements inside the car before it goes on sale in Europe early next year.

In a strange twist, designer Minami commented that he would have liked Honda's announcement of a return to F1 with McLaren to come a year earlier. That way he could have incorporated some McLaren design hints into the Fit. As it is, he seems happy enough, but does admit that some people may find its looks over the top. But once behind the driver's seat, few potential buyers will find the car wanting, especially in the on-road experience. Honda seems to have found its mojo again. It'll be back in Formula 1; a new NSX is coming out soon; a smaller sports car is on the way; a new Accord hybrid will travel more than 800 miles on a tank of gas; and a new Civic Type R will soon challenge the Megane RS for the fastest lap by a front-drive car at the Nurburgring. If anything, this Fit is a reflection of the company's newfound corporate confidence.