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The compact C30 has the distinction of being the smallest car Volvo offers.

It is derived from the Volvo S40 platform, though 8.5 inches shorter, 320 pounds lighter and a two-door hatchback rather than a four-door sedan. In profile, it somewhat resembles a station wagon with a massive glass hatch lid so those trailing can see inside the cabin from cargo hold to dash. It’s about the same size as a Ford Focus.

The small size, however, doesn’t mean it sacrifices any of Volvo’s attention to safety.

There’s stability control with traction control to get you moving and keep you going in the desired direction without wiggle or jiggle. And anti-lock brakes ensure you stop when and where intended.

If you still mess up, there are front and side-curtain air bags, headrests that cradle the melon in a rear impact to prevent whiplash and a special bucket seat design front and rear to keep occupants from submarining under and out of the safety belts in an impact.

As an added safeguard, the nose has a small, soft plastic beam in front of the bumper to absorb crash energy and reduce injury to any pedestrian you may strike.

The C30 is new for 2008. It comes in 1.0 and 2.0 versions. On close inspection, the major difference between the two — other than base prices of $22,700 and $25,700, respectively — is that the 1.0 has 17-inch radials, the 2.0 18-inch radials as standard.

While small, it delivers more than a little kick thanks to its 2.5-liter, 227-horsepower, turbocharged 5-cylinder. A 6-speed manual is standard, a 5-speed automatic with manual mode is optional.

Good power to pass and little or no noticeable turbo lag between kicking the pedal and getting a response. Usually 5-cylinder engines aren’t as smooth or quiet as a V-6, but the 2.5 was neither overly noisy nor harsh. The automatic was smooth.

But the mileage suffers. The 19 m.p.g. city/27 m.p.g. highway with automatic seemed generous after stopping often for fuel on a three-state trip. And those numbers were computed under the new “more realistic” testing procedures.

The C30 is energetic. You zip along the highway and into and out of tight corners and turns, but pay the price on long-distance travel. That’s because it’s snug with stiff seat backs, small seat bottoms and narrow side bolsters. It also comes with a dynamic chassis, which means a firmer suspension to take advantage of the car’s “playful personality” though in doing so you “may sacrifice a touch of comfort.”

Just a touch.

Oddly, pull the handle in the top of the front seats and they slide forward to provide decent access to rear seats, where you find surprisingly good leg and head room.

Lift the glass hatch lid and there’s decent space for luggage or groceries. To hold the golf clubs — or more luggage and groceries — squeeze the handle on the top of the rear seats and the backs fold flat.

C30 also is Volvo’s first Custom Build vehicle. You can add stand-alone options such as DVD navigation system ($2,120), power moon roof ($1,200), leather seats ($1,200) and power driver’s seat ($450); or a climate package ($675) with heated seats, headlamp washers and rain-sensing wipers. Or 20 individual items such as power driver/passenger seats ($900), headlamp washers ($400), electronic climate control ($250) and blind-spot information system ($695 for cameras in the side-view mirrors detect vehicles in your blind spot and set off orange warning lights in the A-pillars along the windshield) to make the C30 all your own.

There are also 17 exterior colors, 12 interior trim packages and nine seat/carpet/floor mat colors.

But for all this choice, you pay a $300 option fee that simply allows you to customize the car and your bill.

Volvo says it went to custom-build so consumers, not dealers, choose cars the way they want them and they don’t sit unsold on dealer lots until incentives are piled on the hood. If concerned about dealers, why not charge them $300 to sell the options? It will wait to see how consumers react before expanding the program.

Volvo also says the $300 defrays its cost of offering limited-edition options — such as 17 exterior colors. Even if you buy that, a $300 option fee might not sit too well.

Our test vehicle started at $25,700, but added that $300 fee to choose metallic paint at $475, front fog lights at $295, auto-dimming mirror at $150, decorative aluminum on the gearshift for $100 and on the steering column for $150, which also requires cruise control at $185. The only stand-alone option really needed was automatic transmission at $1,250. The $1,200 moon roof would have been nice.

Custom-build features omitted included power driver/passenger seats ($900), heated front seats ($450) and an upgrade from manually operated air conditioning to electronic climate control ($250). For $250, we can work the air conditioning, thank you.

Standard equipment includes power windows/locks/mirrors, rear-window defroster, tinted windows, AM/FM radio with single disc in-dash CD player with auxiliary input and MP3 capability and Sirius satellite radio with a year’s free service.

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2008 Volvo C30 2.0

Price as tested: $28,350

Add $745 for freight.

Wheelbase: 103.9 inches

Length: 167.4 inches

Engine: 2.5-liter, 227-h.p. turbocharged 5-cylinder

Transmission: 5-speed automatic

Mileage: 19 m.p.g. city/27 m.p.g. highway

THE STICKER

$25,700 Base

$1,250 Automatic transmission

$475 Metallic paint

$300 Custom-build option

$295 Fog lights

$185 Cruise control

$150 Auto-dimming mirror

$150 Aluminum strip on steering wheel

$100 Aluminum strip on gearshift lever

PLUSES

All new two-door hatchback.

Sporty performance.

Good cargo capacity in a compact.

MINUSES

Room and comfort.

An option fee.

Custom building the price.