Suzuki reportedly plans to start selling a hybrid car in North America in 2011, utilising a next generation system co-developed with GM.

The Nikkei business daily reported the hybrid system will be installed in Suzuki's 'Kizashi' midsize sedan, a gasoline version of which is scheduled to hit the North American market later this year.

The report noted that Suzuki's entry to the hybrid business is likely to fuel a price competition.

Toyota has recently confirmed plans for a Yaris/Vitz-based small car hybrid - in addition to the Prius - that would go on sale in world markets by 2011.