Hybrid Cars

Topics: Plug-in hybrid, General Motors, Hybrid vehicle Pages: 8 (2231 words) Published: March 31, 2013
Demand for the Hybrid Vehicles
in the United States


This paper focuses on the hybrid car technology, government support programs, environmental effects and the demand for hybrid vehicles in the United States. Research was done in the areas of environmental effects of driving hybrid car, income tax incentives for qualified buyers unstable petroleum supplies, and growing concern about global pollution. Hybrid cars tax credits data were analyzed to examine the tax income deduction of purchasing this type of vehicle. The government needs to continue to offer incentives to new buyers of hybrid vehicles to offset the higher cost of these vehicles relative to their non-hybrid counterparts. Hybrid cars and other eco-friendly products are vital to the survival of the earth and the United States and the rest of the world must continue to regulate the emissions without hurting the economy.

Demand for the Hybrid Vehicles

Demand for the hybrid vehicles in the United States has increased since the introduction in the

U. S. market in 2000. The first hybrid car was introduced in Japan in 1997 by Toyota Prius. Three years later, Honda introduced the first hybrid car Honda Insight into the U.S. market. By 2008, other car manufactures entered the hybrid market including Ford, GM, Honda and Nissan. Today, they are four main types of electric cars available on the market which include hybrid electric vehicles, plug-in hybrid electric vehicles, extended-range electric vehicle and battery electric vehicles. Demand for Toyota’s Prius hybrid car increased over the last few years and by supply and demand, Toyota responded by raising the price and increase production. In 2003 and 2004 Toyota made100,000 Prius and in 2007 they made 200,000 hybrid cars.3 In 2012 Toyota Prius Plug-in hybrid is the third fastest-selling car in U.S. Toyota was successful because of strong branding and unique design of Prius. The hybrid vehicles are solution to energy security and environmental protection. These vehicles reduce CO2 emission and air pollution. They combine power from both gasoline engine and an electric motor that runs off the electricity from a rechargeable battery.1 Hybrid cars produce less pollution because the combination of battery power and internal combustion decrease the emission of carbon dioxide and other harmful gases.1 Electric motors use no energy during idle and use less than gas motors at low speeds. Hybrid cars have a regenerative braking, stop- start system, low-rolling resistance tires and power conservative hardware.1 All these features allow the hybrid cars to recycle energy. Energy produced by hybrid is recycled from brakes and used in acceleration. Hybrid car can save money on gas especially in city driving because stop and go driving helps hybrids recharge by capturing the energy generated during braking. Hybrid cars are in high demand but they are not easy to find and some car dealerships struggle to meet demand. Recent earthquake in Japan made it even more difficult for hybrid cars supplies because the best-selling hybrid cars in the United States Toyota Prius is made exclusively in Japan.

Table 1 shows the number of Hybrid Models offered and the sales history from 2000 to 2007.1

Table 1


YearNo. of Hybrid
Models Offered HybridNew Vehicle
Sales Sales in Million

Environmental Effects

The need to develop green technologies comes from the fact that the global climate is changing due to everyday large amounts of pollutants that are released into atmosphere which leads to...
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