TOKYO, July 27 (UPI) -- Toyota Motor Corp. is considering raising the price of its hybrid Prius and luxury models in Japan to help offset higher material costs, an executive said.
The Yomiuri Shimbun reported Sunday the car maker will make a decision on what models will have their retail prices raised in August. The newspaper said the company planned to raise the prices by the end of the year.
A Toyota executive told the newspaper the sharp increase in the price of materials was more than the company could offset through cost-cutting measures.
Unnamed sources told the newspaper prices will be raised by 1 percent to 3 percent.
Toyota has already announced that in August it will raise the retail prices of the Prius, which is powered by a gasoline engine and an electric motor, and 12 other models in the United States.
The price increases would be the first time Toyota has increased prices without a model redesign since 1992, when it raised the prices of its commercial vehicles.
As for its luxury lines, Toyota is considering raising the price tag on models such as Crown and Lexus.
