Despite rave reviews, Toyota has lowered global sales targets for the 2016 Prius amid cheap gas and cars with better mileage.
The Japanese automaker is now targeting global sales of 300,000 to 350,000 annually, down from 300,000 to 400,000 for the outgoing model, according to Reuters.
An unnamed Toyota spokeswoman reportedly attributed the decision to the "decline in annual sales for the hybrid cars since 2013."
Now at seven-year lows, cheaper oil prices are also seen as a contributing factor. AAA pegged the price of a gallon of regular at $2.01 which, according to Time, undermined the Prius' main advantage in the form of better fuel efficiency.
Cheap gas also meant US buyers are ditching hybrids, whose sales are reportedly down nine percent year over year, for SUVs. There's also the advent of cars with better mileage as well as rival EV.
"A lot of the vehicles today get 40+ miles per gallon and you don't have to make the sacrifices you do with the Prius," Kelley Blue Book's Karl Brauer said, as quoted by Time.
"And the Tesla has hurt the Prius as much as anything else," because it replaced the Toyota Prius as "the world's coolest, most environmentally friendly automobile."
That's a shame because the Toyota Prius 2016 has been getting rave reviews for its sporty look and more engaging drive over its predecessor. The fourth-gen model's improved fuel economy - which goes up to 58 mpg in the city for the Prius Two Eco - was also praised.
Still, the new Prius is expected to do well in its Japanese home market, where the country's vehicle tax system favors hybrid vehicle adoption, according to Green Car Reports.
Then again, Japan is a relatively smaller market than the US.
Despite lowered Toyota Prius 2016 sales targets, the Japanese automaker is still the biggest player in the hybrid market with eight million hybrids sold globally - roughly half of which are Priuses, according to Reuters.
