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The highly anticipated Honda City Hybrid has been unveiled in Japan, where it will be badged as the Honda Grace – a hybrid-only model. This is the same hybrid sedan model announced at the 2013 Tokyo Motor Show, which has since been confirmed for the Malaysian market.

Revealed on Honda’s domestic website, the Grace looks pretty much identical to the 2014 Honda City that we know. It has a few unique bits though – the blue-tinged bar under the grille (a common theme among Honda’s hybrids), the option for twin-projector LED headlights, LED taillamps, and a small bootlid spoiler.

Top-spec versions get the same 16-inch wheels that we have here, while others get a new 15-inch design. Also visible are aeroblade-type windscreen wipers, as opposed to the conventional units on the City. Inside, changes are limited to a new set of instrument cluster and the small gearknob shared with the Jazz Hybrid.

Little has been revealed regarding what’s under the hood, other than that it’s a Sport Hybrid i-DCD (Intelligent Dual Clutch Drive) unit. It’s more than likely that it will be the same package offered on the Jazz Hybrid and Vezel/HR-V Hybrid models – a 110 PS/134 Nm 1.5 litre i-VTEC Atkinson-cycle engine and a 29.5 PS/160 Nm electric motor built into a seven-speed twin-clutch transmission. Cooling vents for the lithium-ion battery can be seen by the rear seats, just like on the Civic Hybrid.

A locally-assembled Honda City Hybrid will enjoy tax-free privileges here in Malaysia, at least until the end of 2015 at current regulations. If it gets here in time, it should have a very interesting price range. Could it undercut the top-spec City 1.5 V’s RM90,800 price tag?

We’ll only know Japan pricing and further details for the new Grace Hybrid when the car hits the showrooms in early December this year.

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