EUROPE'S second largest car maker has no intention of producing hybrid models for the foreseeable future. Instead, PSA Peugeot Citroen will focus on building 'more realistic' products, vice-president Gilles Michel said.

Asked if the group planned to compete with Japanese manufacturers by launching petrol-electric cars, Michel said: 'We don't have a plan to make a full hybrid available.

'We have looked at these technologies and their potential, but our vision is for our products to take a more realistic approach.

'We think there is no technological solution at present that makes the hybrid a viable and economic proposal. Building a prototype hybrid is 100 times more expensive than a current car and we believe the cost of producing a hybrid is still more than 10 times greater. Other companies may make a different choice, but PSA is not in the business of subsidising technological innovation.'

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