Ikea is switching its entire UK company-car fleet to hybrid vehicles as a prelude to a possible company-wide shift to greener vehicles. The Swedish retailer said it would trade in its Skoda company cars for Honda Civic hybrids by next year in a pilot programme that it was considering extending to other countries. The move is a significant one for the growing market for alternative-fuel cars, given the home furnishing group’s size and global reach. It is a coup for Honda, which has seen its rival Toyota achieve global market dominance in hybrid vehicles, which are powered by a combination of an electric motor and a conventional engine. Honda last week said it was discontinuing production of a hybrid version of its mid-size Accord, US sales of which have trailed behind Toyota’s top-selling Prius. However, its hybrid Civics have sold well, and the company is developing a smaller new hybrid car. Toyota has sold more than 1m hybrid cars worldwide since launching them a decade ago.

News selected by Covalence | Country: Global | Company: Honda, Toyota, Ikea | Source: Financial Times