Honda Tempers EV Ambitions as Focus Turns to Hybrid Cars

Honda has cut its 2030 EV sales target to 20% from the earlier 30%, citing slower adoption, global uncertainties

- Ayaan Kartik

Honda Motor Co. Ltd has slashed its target for electric vehicles comprising 30% of its global sales by 2030, citing a slowdown in the adoption of electric cars, and joining other auto giants such as General Motors and Volvo Cars in scaling back its EV ambitions.

On Tuesday, the Japanese carmaker said it will focus on hybrid cars, and will launch 13 models between 2027 and 2031 as easier environmental regulations and global trade uncertainties have slowed the adoption of electric cars in the developed countries.

"Honda is reassessing its EV strategy and roadmap, including plans for the EV product lineup and the timing of relevant investments," Honda president and global chief executive Toshihiro Mibe said at a press conference. Mibe said it's hard to read the market, but the company sees EVs accounting for about a fifth of its sales by 2030.