As mentioned on Autoblog over a year ago, Chinese production of the Toyota Prius appears to be nearing its start. "Sources" are claiming that the company's joint venture with China FAW will begin producing the vehicles in Changchun sometime in mid-December.

While this whole activity was said to be "encouraged" by the Chinese government, it's not quite clear what (if any) financial incentives were put into place. It may have simply come about through Toyota's wishes to increase production of current hybrid vehicles, so that it can drive down the component costs of its next-generation technology, said to be debuting in 2008.

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