Toyota Plans to Drop Price of Prius

Hybrid vehicles are poised to become very price competitive with their conventional counterparts, according to an announcement from Toyota. USA Today reports that the president of Toyota, Katsuaki Watanabe, says he has told his engineering chief to find a way to cut in half the price difference between fuel-efficient hybrids and similar gasoline models. Toyota's plans to slash the cost of building hybrids like the Prius should carry over to other carmakers. Katsuaki Watanabe also said that Toyota will sell 1 million hybrid vehicles a year worldwide by early next decade, up from a planned 300,000 this year, about 60% in the USA. He said Toyota is developing fuel-efficient diesel-power vehicles for the U.S. market but "not in the short term." :: USA Today