Carlos Ghosn, joint chief executive of Nissan and Renault, the car manufacturers, yesterday described petrol/electric hybrid cars as a "terrible business proposition", even as rivals scramble to expand production of the fuel-efficient vehicles.

"Hybrid sales account for less than one per cent of global sales. It is a niche technology. The question is how much the consumer is willing to pay for them, and if they are unsure at $70 a barrel [for oil] then I would be very worried. For now it is a terrible business prospect," he said.