Are you ready for the “world’s most affordable hybrid”? We sure are! And thanks to Honda, starting tomorrow, this promise will be made a reality.

Costing consumers a mere $20K, the Honda Insight uses the most cost-effective hybrid technology – giving the Toyota Prius a run for its money by already topping Prius’s current sales in Japan. And in retaliation, Toyota has announced that the current Prius model will be available for a few thousand dollars less than before at $19,250 USD (1.89 million yen), making it the same price (in Japan) as the Inisght.

Honda is hoping that the Insight could bring a turnaround for their luck with hybrids. Their previous attempt at selling hybrid vehicles was a bust and they discontinued a previous Insight model in 2006, believing consumers were not willing to shell out the cash. However, with the success of Toyota’s Prius coupled with a spike in oil prices, Honda is back with a new Insight. Who will win the battle of the hybrids?