Hybrids vs EVs: Honda's pivot to hybrids is now part of a growing trend

Honda Motor Co., Japan's second-largest automaker, said on Tuesday that it was moving to scrap its previous goal for electric vehicles (EV) to be 30 per cent of its cumulative global vehicle sales by 2030, citing slowing sales of EVs in the US. The decision by the Tokyo-based carmaker ties in with the broader trend being seen across markets, even outside of the US. Carmakers across markets have been pivoting away from EVs (essentially battery electric vehicles) towards hybrids. Honda is part of that trend.

- GNS News Agency

Honda Motor Chief Executive Toshihiro Mibe termed the decisions "a switch in the planned course," while asserting that the long-term shift toward electrification remained unchanged, just "pushed back in time". Incidentally, last year, Honda was forced to jettison a pact with American carmaker General Motors that aimed to build a line of cheaper EVs in the US. Also, talks that began late last year to merge the operations of Honda and Nissan Motor Corp, as well as smaller automaker Mitsubishi Motors Corp, collapsed earlier this year. From Honda's perspective, this venture was also aimed at jointly harnessing rival Nissan's EV expertise.