Honda says NO to Clean Diesel Power; Chooses Hybrid Instead

In a report from Automotive News, Takeo Fukui, Honda Motor Company President has confirmed that a new hybrid powertrain is being developed for large cars that will negate the need for a clean diesel engine, which was originally planned. Fukui cites the cost of clearing tough emissions regulations in the United States and Japan as the main reason for the change in direction. The more cost-effective solution will be a modified or possibly new hybrid drive system which will instead become the future green drivetrain for big vehicles.

Honda has not said when it will begin to offer a hybrid powertrain in its larger vehicles. Meanwhile, the hybrid sales face-off will take place next month when the 2010 Insight (which reached U.S. dealers last month) will take on the 2010 Prius when it goes on sale. Fukui has stated he will not lower the price of the 2010 Insight hybrid in response to Toyota cutting the price of its upcoming 2010 Prius hybrid.

In a report from Automotive News, Fukui confirmed that the price of the Insight would not change despite Toyota's decision to lower the price of the Prius. "I don't think that would be meaningful to do so," he said. Many thought Honda might lower its price to engage in a hybrid price war with its domestic rival.

Source: Automotive News