Toyota raises Prius price by $500 for 2009 in US

Toyota Motor Corp. said Friday it is raising the U.S. suggested retail price of its Prius hybrid by $500 for the 2009 model. The new price is a 2.2 percent increase over the current models. Prices will range from $22,000 for the standard Prius to $24,270 for a touring model, the company's U.S. sales unit said. Bill Kwong, spokesman for Toyota Motor Sales USA Inc., said the growing cost of commodities is the main reason behind the increases. He ticked off a list of commodities-based raw materials that have seen a price run-up in the last year. "Almost everything is made out of petroleum," he said. "Rubber, plastic, transportation (costs), glass, things like that." "We try to absorb the costs by making things more efficient and cutting back where we could, but we also don't want to cheat the customer on the quality of the... [read full story]