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Chrysler, an American subsidiary of the German auto maker DaimlerChrysler, has signed a deal with China's Chery Automobile Company to design and manufacture a subcompact car in China that will be sold around the world. DaimlerChrysler's supervisory board and the Chinese government must still approve the deal. Chrysler wanted help from a company more experienced in creating and selling subcompact cars, which have small profit margins, and Chery wants help selling cars in the United States. Both companies know that increasing gas prices in the United States will raise American interest in smaller cars. Chrysler has exhibited a prototype car called the Hornet that many feel will be the basis for the project with the Chery company; the Hornet is smaller than the smallest car currently made by Chrysler.