Honda EV plans scaled down with renewed focus on hybrid cars

Honda Motor is revising its electric vehicle strategy due to slowing global demand, shifting its focus more towards hybrids, the company said on Tuesday. While its earlier goal was for EVs to make up 30 percent of worldwide sales by 2030, that target is now expected to drop to 20 percent. However, demand for Hybrid Electric Vehicles (HEVs) remains strong, prompting Honda to debut 13 such four-wheelers over a four-year period starting in 2027.

1. By 2030, Honda is targeting a 61:39 sales split between HEVs and EVs
2. It aims to become a carbon-neutral brand by 2050
3. The new 'H' logo for EVs revealed in 2024 will also be used for upcoming HEVs

New Honda hybrid strategy

3 hybrid systems: 2 focused on fuel efficiency, 1 on performance

Depending on the model, the upcoming cars will feature small and midsize e:HEV hybrid systems (in Honda’s terminology). By combining the e:HEV system with a new, lighter platform and a newly developed electric AWD unit with precise motor control, Honda aims to boost the fuel efficiency of its upcoming hybrid models by over 10 percent. Interestingly, the EV-exclusive 'H' logo revealed in 2024 will also be used on the upcoming hybrid Honda models.

For the North American car market, where Honda HEVs are extremely popular, a new hybrid system will be developed. It will be built for large-sized vehicles and boast high performance and towing capability. This hybrid setup may be introduced in cars arriving in the latter half of this decade. The Honda City e:HEV, which was launched in 2022, is the brand's only hybrid offering currently in India. Honda is also working to reduce the costs of key components like batteries and motors by collaborating with suppliers, and with high sales volumes, the company expects prices to drop by more than 50 percent compared to the e:HEV systems of 2018 and 2023.

All-electric Honda 0 Series 2026 debut on track

Level 3 ADAS to be on offer 

Honda 0 Series sedan (left) and SUV (right) concepts.

“There is no change in the Honda position that EVs are the optimal solution to achieve carbon neutrality of passenger vehicles. Therefore, Honda will steadily carry out initiatives being undertaken to prepare for the future EV shift at the appropriate timing,” stated the car brand.

Honda confirmed that its all-electric 0 Series models, set to be introduced in international markets next year, remain on schedule. It showcased 0 Series SUV and sedan prototypes in the US in January 2025, with the latter featuring an up to 90kWh battery pack a battery pack of up to 90kWh and an estimated range of over 482km. The Honda 0 Series EVs will come equipped with a Level 3 ADAS suite, which allows the driver to take their hands off the steering wheel in certain situations. Additionally, Honda is developing its next-generation ADAS system with components that take up less space and are cost-effective, making it suitable for use in smaller vehicles.