Honda Considers Offering Two More Hybrids For Less Than $23,000

honda hybrid

Honda is mulling a plan to sell two more hybrid cars for less than the Insight, which it sells for $19,800 to $23,100.

While Insight sales in the U.S. are disappointing Honda–missing targets by 33%–in Japan the Insight was a top seller until Toyota rolled out the new Prius. Now that’s the top seller.

Honda’s non-hybrid sales are slumping so adding to its hybrid lineup makes sense. Presumably, increasing the manufacturing of hybrid technology also drives down cost, helping Honda earn more per car. At the low prices Honda plans on charging, the profit margins, if they exist at all, are thin.

Why are hybrid sales doing well in Japan as opposed to the U.S.? Josie Garthwaite at Earth2Tech breaks it down. The short answer: gas prices are higher and the tax incentives are better.

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.