From Autoweek Online How big is the hybrid market? It depends whom you ask MARK RECHTIN | Automotive News Posted Date: 3/25/05 LOS ANGELES -- Long-term customer demand for hybrids is difficult to predict. Estimates of annual U.S. hybrid sales in 2010 run from a conservative 535,000 by J.D. Power and Associates to 3.5 million in a Booz Allen Hamilton forecast. In 2004, the U.S. market totaled 16.9 million vehicles. J.D. Power's forecast assumes a $4,000 premium for a hybrid vehicle. The Booz Allen Hamilton forecast assumes price parity when hybrids achieve high volumes and economies of scale. Another confusing factor: Both projections include so-called "mild" hybrids, ...... Full Article No subscription.
> J.D. Power's forecast assumes a $4,000 premium for a hybrid vehicle. It will likely be less than $2,000. The cost of production should be lower 6 years from now, due to growing increase in demand. And replacing the aluminum rims with just typical steel rims, replacing the digital speedometer with a typical analog speedometer, and eliminating the Multi-Display entirely would shave quite a bit off premium too. Of course, that's Toyota. Everyone else will charge a hefty premium as a result of their panic development to catch up with the competion!
most of these predictions were made on $1.80-$1.90 a gallon gasoline. Bump that to $2.50 and see where the demand goes to. We are in reality a blip on the car sales horizion. But blips can grow to hills with the right conditions.
