Want $30,000 Off Your Green Car? Head to Japan

Japan is about to raise the bar for governments subsidizing zero-emission cars, as it pledges incentives that may exceed $30,000 a vehicle for Toyota Motor Corp.’s first hydrogen-powered sedan.

Rebates from Japan’s national and local governments may top a combined 3 million yen ($29,500) per car. Prime Minister Shinzo Abe said last week he plans to extend subsidies of at least 2 million yen, while Aichi prefecture, where Toyota is based, may provide about 1 million yen for local purchases, according to Takashi Horibe, the area’s auto and environmental conservation specialist.