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Friday, April 21, 2006

Altima hybrid to only be sold in 8 states

Are you interested in the Nissan Altima hybrid? Well, your ability to buy one might be dependent upon the state in which you live.

"Nissan's first hybrid, the forthcoming 2007 Altima HEV will only be sold in eight states. To put a geographical point on it, the Japanese automaker will sell the eco-friendly sedan in the Northeast and California: New York, Massachusetts, Connecticut, Vermont, Rhode Island, Maine and New Jersey will join the Golden State. All of the states in question have adopted versions of the latter's zero-emissions vehicle program, which in effect will force manufacturers to sell hybrids." (LeftLaneNews)

In the past Carlos Ghosn has stated that it isn't the right time for hybrid cars yet due to pricing, and I think he still feels that way. Inevitably, the Altima hybrid is not a major hybrid play by Nissan, it is purely a PR move.

While I think the Altima hybrid could be a hot car, its success will be completely dependent upon price. Since the Altima hybrid is being built upon leased Toyota hybrid technology, it will be hard for Nissan to make money off of the Altima hybrid.

Thus, I don't expect Nissan to sell more than 20,000 hybrids simply because the price comparison between an Altima hybrid and a conventional hybrid will be too wide, much wider than it would be if Nissan had proprietary hybrid technology. For this reason I don't think Nissan even wants to sell more than 20,000 hybrid Altimas.

With today's technology, only unique hybrid vehicles, such as the Toyota Prius, will achieve great sales. Converting conventional vehicles into hybrids probably won't rock the auto world until the next generation of hybrid batteries. Of course, now the Toyota Camry hybrid will probably make me eat my words on that prediction.

Labels: Altima hybrid, Camry hybrid, Hybrid Vehicles, prius, toyota

posted by Dahcredyns at 9:46 AM

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