Honda's new hybrid to sell for ¥1.5million

The new Honda Motor Co. hybrid car going on sale in September will cost around ¥1.5 million (US$16,916), making it the most affordable hybrid in Japan, The Nikkei reported. The new car will be priced almost ¥400,000 (US$4,511) less than Honda’s successful Insight hybrid and only about ¥200,000 (US$2,255) more than its popular gasoline-powered Fit compact. It will be able to travel 30 kilometers (km) on a liter of gas, compared with the Fit’s 24km. At a relatively low ¥1.89 million yen (US$21,315), the Insight has become a hit, with more than 93,000 units sold last year. The new car, based on the Fit, will share core components with the Insight, reducing Honda’s development costs while providing the same level of fuel efficiency as its current hybrid. (June 24, 2010)