If the battery is smoking, be careful. It could explode. Disconnect the battery and have it checked to make sure there isn't an internal short in it. If the smoke is only coming from one of the battery terminal connections, remove the terminal, clean it and replace it making sure it is tight.
If that still doesn't fix the problem, you need to make sure the both terminals are clean and tight, and the ground to the engine block is clean and tiught. If they are good, disconnect the battery, remove the starter and have it bench tested at a parts store. Most will do it for free. Chances are the starter is drawing too many amps and overheating the wiring.
Let me know what you find.
Joe
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Monday, January 11th, 2010 AT 10:43 AM