China has a lot of environmental issues, and the fact that Prius hybrid car sales are lagging is just one of them.  But it is still a disappointment that China’s wealthy are not embracing the hybrid. 

The Detroit News just reported on the issue: “When Toyota Motor Corp. announced two years ago that it would produce Prius hybrids in China, it seemed like a sure bet.”

“The air in China’s biggest cities is thick with pollution, and the government is pushing up taxes on gas guzzlers. China appeared to be an ideal market for Toyota’s gasoline-electric car. But sales of the Prius have been extremely disappointing.”

“‘We started with a target of 3,000 a year, but we’re running short of that,’ said Yoshimi Inaba, an executive vice president of Toyota and its top executive in China. Prius sales are currently running at around 100 a month, or less than half the rate required to meet the annual goal.”

“The Prius’s poor showing, an anomaly in Toyota’s otherwise dynamic performance in China, suggests that energy conservation is not a priority among China’s newly rich consumers.”

It doesn’t help that China offers no tax breaks or other benefits for hybrid owners, either.

Read the full article.