Nissan has announced that its new all-electric car, the Leaf, is set to cost £28,350 in the UK.
The price of the zero-emission vehicle, available from February 2011, will drop to £23,350 when a £5,000 Government grant is included, the company stated.
The five door hatchback has a 100-mile range and a top speed of 90mph.
Initially, the car will be manufactured in Japan and the US. Production in Nissan's Sunderland plant in north-east England will start in 2013, which is expected to help safeguard more than 2,000 jobs.
In February, the Labour Government announced that motorists buying ultra-low carbon cars would get 25% discount on the price, with the grant limited at £5,000.
Nissan International's sales and marketing senior vice president, Simon Thomas, said: "Nissan leads the industry by being the first automaker to offer an affordable zero-emission car. It's a pure electric vehicle, with no tailpipe emissions and very low running costs.
"Nissan Leaf may look similar to a compact family car, but its smoothness, acceleration and handling will surprise and impress drivers and passengers alike."
Leaf stands for Leading, Environmentally Friendly, Affordable, Family Car.
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