Toyota rolls out luxury hybrid sedan

Japanese automaker Toyota on Thursday introduced its newest hybrid vehicle a pricey luxury sedan Lexus LS in a bid to appeal to wealthy, green-minded consumers.

The sedan, priced at 15 million yen ($136,864 Cdn), will initially be sold only in Japan before rolling out in Europe, North America and other Asian markets.

'As long as cars exist, the need for hybrid technology will remain.' Masatami Takimoto, Toyota

Hybrid carsare not merely a transitional technology, Toyota executive vice-president Masatami Takimoto said at the Tokyo launch. He said the cars, which boost fuel efficiency using a combustion engine and electric motor had considerable staying power, noting the company anticipated selling about 7,000 Lexus LS cars in 2007.

"As long as cars exist, the need for hybrid technology will remain," Takimoto said.

At the 2007 Canadian International Auto Show, the Toyota Camry hybrid was named the car of the year by the Automobile Journalists Association of Canada the first time a hybrid vehicle has ever won the honour.

Toyota, considered a leader in the market having outsold other hybrid competitors, first introduced its Prius 10 years ago. The automaker sold about 300,000 hybrids worldwide last year.

10,000 hybrids sold in Canada in 2006

While advocates of hybrid technology praise the vehicles for offering better mileage and reduced greenhouse gas emissions, cost-conscious Canadians many of whom already drive small cars have been slow to adopt the technology.

The most recent figures from Desrosiers Automotive Consultants suggest that hybrids made up about 10,000 of the 1.6 million vehicles sold in Canada in 2006.

The federal government in March introduced a new program boosting fuel-efficient cars in its budget. Consumers are offered rebates for the purchase of new cars that use fewer than 6.5 litres of gasoline for every 100 kilometres driven and minivans or SUVs that consume fewer than 8.3 litres (based on 55 per cent city driving and 45 per cent highway driving).