A hybrid vehicle is capable of complying with a request for immediate acceleration while the vehicle is moving at a low speed and of being powered by a motor small in size so that the vehicle can be small in size and light in weight. The driving force of engine is supplemented by that of a motor. An output shaft is provided between the engine and the motor. A controller responds to a high torque requirement by increasing engine torque. When the vehicle moves normally, the engine is operated in an output range of high efficiency and low-pollution with output to an output shaft shared by a generator and motor, and while the generator generates electric-power, the engine output is combined with the output of the motor to drive the vehicle wheels. On the other hand, when high torque is required, since the electric power generation by the generator is suspended and the engine torque is increased, the output transferred from the engine to the drive shaft 1b is increased in proportion to the increase of the engine speed, with the result that desired driving state of the vehicle is ensured.