Hybrid sales slipping due to reduced gas prices and lost tax incentives

Hybrid vehicles hit their record sales in July of this year, which coincides nicely with some of the priciest gasoline ever on record. From September to November, however, sales for the Toyota Prius dropped by over 22 percent.

Reasons for the sales drop abound, with lowered gas prices, Toyota running out of the Federal Government allowed tax credit and consumer attitudes reportedly adding to the declines. According to an Edmunds.com market analyst, people still want to have hybrids due to their fuel economy advantages, but are not willing to pay a large premium for them while gas prices are low.

Lastly, some believe that the introduction of new technology such as new diesel particulate filters and new injectors, along with multi displacement technology costs less to consumers who want to appear green without that image impacting their pocket book a large extent. So, it appears that many hybrid drivers were not as interested in driving green as appearing to drive green if it doesn't impact their lives too much. Is it about lower gas bills, cleaning the environment, reducing dependence on foreign oil or just appearing to care? Let us know what you think.

[Source: MSNBC]

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