US Car Dealers Raise Prices on Some Japanese Imports

The earthquake and ensuing tsunami has affected production for most Japanese carmakers. With supply of Toyota’s Prius in the US dwindling, some dealers have already taken advantage of the situation of the shortage to raise prices, according to an ABC News report.

Automakers like Toyota, Honda and Nissan have already stated that they have sufficient supply of vehicles in the US consumers’ need. So the fact that some dealers are raising prices might seem strange at first glance. However, it may simply be a case of supply and demand.

"We're going to run out of cars. We had five [Prius hybrids] on the ground yesterday, and I don't know when I'll get another," says Dave Conant, owner of a Toyota dealership in San Diego, CA. "The market has shifted pretty quickly and dramatically."

Buyers will now have to pay the full sticker price, instead of enjoying the usual discounts they have grown accustomed to when it comes to hybrids and small cars.

Besides the Prius, other models that now cost slightly more include the Honda's Insight, Fit and CR-V; Toyota's Yaris; and several Acuras and Infinitis. ABC News states that models like the Yaris, with its $12,955 sticker price for a base model, and the Honda Insight, priced at $18,200, are dropping their typical discounts of 5 to 10 percent.

Jesse Toprak, vice president of industry trends and insights for TrueCar.com, says that the increases "will last weeks, if not months". In the past Toyota has offered a $500 rebate on the Prius, plus zero-percent financing. And it offered a $1,000 rebate on the Yaris.