Undergoing testing in Brazil

Toyota has turned to flex-fuel technology in an attempt to make hybrids like the Prius more popular in Brazil.

The Hybrid FFV Prius was unveiled in Sao Paulo, Brazil, earlier this week at an event attended by local government, universities and members of the sugarcane industry.

According to the company, the FFV has the potential to dramatically cut CO2 emissions by combining its already miserly powertrain with renewable, plant-derived ethanol fuel popular in South America.

If ethanol isn't available, the car can still be run on regular petrol – hence the 'flex' in its name.

The car will be put through its paces on the road in Brazil to ascertain whether its real-world performance stacks up, along with the all-important reliability and durability.

According to Toyota, the Hybrid FFV is part of its "Environmental Challenge 2050", which challenges it to cut vehicle CO2 emissions by 90 per cent compared to 2010 levels. The challenge includes emissions from production and manufacturing, on top of those emitted during its lifetime of driving.

The company also plans to sell 5.5 million electrified vehicles across its Lexus and Toyota brands by 2025.

"I am very proud of our Toyota do Brasil engineers that worked closely with our engineers in Japan to develop the world's cleanest hybrid vehicle that uses ethanol for our Brazilian customers," said Steve St Angelo, senior managing officer of Toyota Motor Corporation in Latin America and the Caribbean. "The invention demonstrates our journey in providing a new mobility society."