Lexus confirmed it will sell a hybrid car based on the new, 3rd-generation Toyota Prius in Europe, according to Automotive News. However, the company also said that a new, larger, dedicated hybrid model will not be sold there; Karl Schlicht, president of Lexus Europe, said the larger hybrid's CO2 emissions would be too high for European buyers.

According to the article, the new Prius will have CO2 emissions of 92 grams per kilometer, Toyota sources said. "A special low-emissions version will have CO2 emissions of 89g/km. The Lexus version likely will have slightly higher CO2 emissions because it will be more performance oriented than the Prius." European sales of the Prius-based hybrid will begin in two-years; look for the third-generation Prius to debut in January.