Imagine something like a two-seater City car, while I'm dreaming I imagine this type of vehicle completely taking over for most City commuting. Since these would be smaller and slower than normal cars, they would be phenomenally safer.
All of these cars are highway capable. The cars OP describes are extremely niche in Europe.
There have been many, many car projects like that from large and small companies. All of them failed to get any kind of mainstream audience.
People want general purpose cars and they will not buy anything else.
>Since these would be smaller and slower than normal cars, they would be phenomenally safer.
City driving at 50kmh is already dangerous in regular cars. Either you limit traffic to something like 25 kmh or you have to accept that crashes are now more dangerous.
Obviously it isn't great there, but it is not a car you can only drive in the city.