Mitsubishi Motors Corp. says most European customers will be able to buy its MiEV electric car for less than 30,000 euros ($38,000).
The Japanese automaker will launch the car in 14 European markets including France, the UK, Germany, Spain and Italy, starting in December.
Mitsubishi said the price of the car will differ according to country but will be set between 33,000 euros and 35,000 euros, including batteries.
The final cost to the customer will be under 30,000 euros in the majority of countries where it is sold, taking into account government incentives, Mitsubishi said.
Countries such as the UK and France have said they plan to offer buyers subsidies to purchase electric cars.
The European MiEV will debut at the Paris auto show on September 30. Unlike the Japanese market version, the European MiEV includes electronic stability control, side airbags and curtain airbags as standard equipment. It also has improved interior comfort.
The MiEV has a range of 150km on a single charge of its lithium ion batteries and a top speed of 130 km/h from its electric motor, which has a power output of 49kW, equivalent to 67 hp.