Honda softens EV goals to focus more on hybrids
Honda has announced it will introduce 13 new hybrid electric vehicles (HEVs) using a lower cost, more fuel-efficient next-generation platform as it ditches its previous electric vehicle (EV) sales targets.
The Honda business briefing held in Tokyo, Japan yesterday saw the automaker admit it won't achieve its previous goal of 30 per cent of sales being EVs by 2030 despite committing to investing more than 10 trillion yen (A$108 billion) in EV tech last year.
Instead, Honda confirmed plans for a new generation of more affordable dual-motor 'e:HEV' hybrid technology – with renewed investment in internal combustion engines.
The tech will use a new lighter all-wheel drive platform across small, medium and large vehicles to go into production from 2027.
Hundreds of new car deals are available through CarExpert right now. Get the experts on your side and score a great deal. Browse now. Supplied Credit: CarExpert
The automaker said the tech – which will first be introduced in Japan and North America markets – will be more affordable with lower cost batteries and electric motors.
Honda is also aiming for a 10 per cent improvement in fuel efficiency for the new e:HEV tech.
Honda CEO Toshihiro Mibe said the brand aims to sell 2.2 million HEVs out of a total of 'more than 3.6 million' Honda vehicles annually by 2030.
In 2024 the automaker's total global production was 3.7 million vehicles.
The automaker will look to address slow sales in China with a partnership to develop next-level Advanced Driver Assistance Systems (ADAS) with local start-up Momenta, enabling it to tune ADAS for specific markets. Supplied Credit: CarExpert
Despite the move away from its electric car sales targets, Honda said it remains committed to its previously announced goal to be carbon-neutral by 2050.
While it has invested heavily in fuel-cell technology, the automaker said battery-electric powertrains remain the best solution to achieve this, with plans for 'comprehensive EV supply chain' in Canada – despite headwinds from automotive tariffs applied by the US government.
It plans to launch production versions of the Honda 0 Series electric range – the 'main pillar' of its electric model strategy – shown at the 2025 Consumer Electronics Show in Las Vegas.
The first 0 Series model is scheduled to arrive in showrooms in 2026, with the lineup set to include a sedan and an SUV.
Honda Australia is yet to confirm any EVs for local showrooms, although it currently offers five models with hybrid powertrains.
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