MONTVALE, N.J. -

The distribution rights of smart USA — as well as the management, sales and marketing for the brand — are slated to be shifted completely over to Mercedes-Benz USA within the first half of 2011, according to plans shared Monday.

Currently, these activities are handled by Penske Automotive Group, which began talks this week with Mercedes-Benz USA to iron out the transition.

The companies anticipate the shift to happen by the next quarter’s end.

The proposed move is part of carrying out smart’s plans for growth. It also corresponds with smart’s reorganization at its Germany headquarters in 2010. Per the reorganization, smart is now part of Daimler AG’s Mercedes-Benz Cars division but is run independently, officials explained.

“We are very excited about working toward integration of smart into the MBUSA organization, and look forward to working with our dealer partners to exceed customer expectations for this unique vehicle," said Ernst Lieb, the president and chief executive officer at Mercedes-Benz.

“The addition of smart, combined with our Autohaus dealer initiative, will help us build upon the tremendous momentum the Mercedes-Benz brand has achieved here in the U.S.,” Lieb continued.

Roger Penske, chairman of his namesake auto group, added: “Introducing the smart brand to the U.S. has been a unique opportunity for us. Over the last three years I’ve experienced the passion consumers express for the brand as we delivered over 45,000 vehicles.

“Aligning smart distribution with Daimler, as it is worldwide, is the logical next step for the smart brand in the U.S. This alignment will enable the smart brand to grow through the Mercedes-Benz dealership network and lead the way in conservation and meeting future fuel economy standards,” he concluded.