Honda taking hybrids to next level with new hybrid car?

Honda set to offer the first subcompact hybrid.

In 2007, according to unofficial reports, Honda will begin offering the Honda Fit Hybrid, a subcompact hybrid. With a starting price of just $11,790.00, the Fit hybrid should shake up the world of hybrid cars.

According to the report, the new Fit will achieve fuel efficiency in the range of the Toyota Prius hybrid or the Honda Insight hybrid.

Some analysts already speculate that this move is a sign that Honda now believes that hybrid vehicles will have a much more critical role in the future. In the past, Honda has indicated that it wasn't sure about the future of hybrids. In addition to the Insight and Fit hybrids, Honda also offers the Civic hybrid - now in its second generation - and the Accord hybrid.

Ironically, this will be Honda's fourth hybrid car. GM, on the other hand, has stated that it is mostly interested in putting hybrid technology only in its large vehicles. Thus, one cannot help but wonder if GM is not sealing its fate with its stubborn refusal to challenge Japan in small cars and the new battle for fuel efficiency supremacy.