The results are partly due to a number of tax incentives from the Japanese government, that were introduced in order to promote the purchase of greener cars in general and, more specifically, hybrids. Despite those incentives ending in September, the gas-electric hybrid remained the top selling car in the country.
The end of hybrid vehicle subsidies did take a toll on the Prius, that sold in just over 20 percent less units than it did last year. According to data provided by the Japan Automobile Dealers Association and the Japan Mini Vehicles Association, Toyota managed to shift 21,400 Prius hybrids in November. The figure is a staggering 28 percent more than the sales runner-up, the Honda Fit (16,677 units). In third place, Daihatsu Motor Co.'s Tanto minicar sold 13,217 units, up 25.8 percent.
We believe that factors other than the government incentives played a big part in the Prius’ sales. For starters, the price of gas in Japan is nearly double than what you pay in the States and most Japanese drivers don’t need a lot of power from their cars, since they all come with an electronically limited speed of 112 mph (180 km/h). Also, the country is small and long distance journeys are made by plane or by bullet train. Add to that the car’s large boot and decent space in the back, and it comes as no surprise it’s doing so well.
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