After more than two years of sinking sales of a vehicle that is wildly popular everywhere else, Toyota finally decided to slash the price of its hybrid model Prius in China in early March, cutting prices by about ¥22,400 ($3,150), to ¥259,800.
Only 312 copies of the hybrid model were produced and 414 were sold in the whole of 2007, according to CBU-Autostats.
Assembled locally at an FAW-Toyota plant in
The recent price cut amounted to 7.9 percent, but it remains a question whether it is deep enough to convince more customers into buying the hybrid model.
Few potential Chinese buyers are interested in a non-luxury hybrid car, which carries a luxury price tag.
According to a report in Shanghai Daily, an official from FAW-Toyota, producer of the Prius, said that ¡°mature¡± production technology enabled the companies to cut the price. However, whether it is enough to drive up sales is another question.