Honda is abandoning its struggling EV push to focus on next-generation hybrids, with a new wedge-shaped sedan and Acura SUV launching in 2028 as part of a broader North American strategy.
Key Details:
- Honda has canceled multiple EV models including the 0 Sedan, 0 SUV, Acura RSX, and two Afeela models from its Sony partnership
- Two new hybrid prototypes were unveiled: a Honda sedan and Acura SUV, both scheduled for 2028 release
- The new hybrid powertrain offers over 10% efficiency improvement compared to 2023 technology, with costs expected to drop by more than 30%
- Honda plans to launch 15 hybrid models by March 2030, with the U.S. market receiving the majority
- Most new models will be SUVs with all-wheel drive capability powered by electric motors
- The company is investing 4.4 trillion yen (approximately $28 billion) in gas and hybrid development over the next three years
- A smaller 0.8 trillion yen ($5 billion) allocation remains for EV development in other regions like Japan and Asia
- Honda claims future hybrids launching from 2027 onward will feature the “world’s most efficient powertrain”
Why It Matters: Honda is redirecting resources from struggling EV sales in the U.S. market toward hybrid technology while maintaining selective EV investments in other regions where demand remains stronger.