The Honda Fit could be the cheapest hybrid available when it hits US shores next year; however, it won't take Toyota long to challenge the leader for cheapest hybrid cars.

Cheaper and cheaper hybrids, finally

Cheaper hybrid cars coming soon

Do hybrid cars save enough gas to pay for their extra costs compared to conventional vehicles? That depends upon a lot of different variables, as well as the source. Nevertheless hybrids are set to become cheaper with the upcoming launch of the Honda Fit hybrid, and that’s good news for hybrid fans.

According to GreenCarCongress, the new Honda Fit hybrid will be priced at $18,600 in Japan when it goes on sale in October, making it the cheapest hybrid available.

With a serious decline in Honda hybrid sales already underway, a cheaper hybrid should be good news for Honda. Likewise, early word out of Japan is that the new Fit will not be plagued by the suspension and quality issues already affecting Insight hybrid sales.

Unfortunately for Honda, however, Toyota has a new hybrid compact of its own planned to quickly follow the launch of the Fit hybrid, and Toyota’s new hybrid could end up not only a few hundred bucks less than the Fit hybrid, but also a good bit more fuel efficient than the Fit.

Slowly but surely the hybrid competition is heating up, and cheaper hybrids should entice more consumers to check out the hybrid segment, and that could stem the ongoing decline in overall US hybrid sales. Even better, if consumers can close the price gap between these new hybrids and their conventional counterparts (at least relatively), an extra couple percent market share might be just around the corner.