(This question is a special case of a question I asked at SE, which got no answer there)
Let $M,N$ be diffeomorphic connected compact Riemannian manifolds, and let $f:M \to N$ be a surjective nonexpanding map (i.e Lipschitz with constant $1$).
Assume that $f$ is strictly nonexpanding, i.e there exists $p,q \in M$ such that $$d(f(p),f(q)) < d(p,q)$$
Is it true that $\operatorname{Vol}(N)<\operatorname{Vol}(M)$?
Edit:
I want $M,N$ to be smooth manifolds with or without boundary. Nik's answer gives a counter example (when $\operatorname{Vol}(N)=\operatorname{Vol}(M)$), but I am not sure it is smooth in the sense mentioned above. (The same problem comes up in this example given at S.E).
Note that if we do not assume $M,N$ are diffeomorphic then the answer is negative:
A counter-example is $f:[0,2\pi] \to \mathbb{S}^1, f(t)=e^{it}$.
Partial result:
In the case the manifolds are one-dimensional the answer is positive:
Assume otherwise. Then $\operatorname{Vol}(N)=\operatorname{Vol}(M)$. Since every two compact connected one-dimensional Riemannian manifolds with equal volumes are isometric, there exists an isometry $\phi:N \to M$. Thus, $f \circ \phi:N \to N$ is surjective and nonexpanding, hence an isometry.