Japanese car makers are planning to market hybrid cars in South Korea, a wake-up call for domestic competitors who are in the early stage of commercialising their environmentally friendly models.
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The Korea Times said Honda plans to begin selling hybrid cars for the first time in South Korea by introducing the Accord Hybrid sedan in the second or third quarter of 2006.
It is a move which is expected to lead domestic carmakers, such as Hyundai Motor and Kia Motors, to an earlier-than-expected sale of a hybrid. Hyundai is still a couple years away from marketing hybrid cars of its own.
“We will unveil the hybrid model in June. Motorists will meet the new cars by July or August,” a Honda Korea representative told the newspaper.
“As a leading hybrid vehicle producer worldwide, we decided to become the first player here,” the official reportedly said.
Buyers of the petrol-electric Accord Hybrid sedans will also enjoy scheduled tax credits as soon as the policies become effective (later this year or in 2007), the Korea Times said.
The paper said that, while Korea is considering offering a variety of incentives, such as tax breaks and insurance discounts to hybrid car owners, it will not be easy for carmakers to be successful in their sales of eco-friendly cars as long as prices remain above those of petrol cars.
The report added that GM Daewoo Auto & Technology is mulling the marketing of GM hybrid SUVs from next year.
