Japanese automaker Honda is doubling down on its commitment to electric vehicles, announcing a massive investment of 10 trillion yen ($65 billion) through fiscal 2031 to deliver EV models globally, including in the U.S. and China. By 2030, Honda plans for battery EVs and fuel cell EVs to make up 40% of its global auto sales, with global production capacity for more than 2 million EVs. The company’s “0 Series” will be a new EV series created from scratch, with plans to introduce seven models by 2030 and 100% EV sales in China by 2035.
Honda’s CEO, Toshihiro Mibe, emphasized the company’s commitment to becoming a frontrunner in changing lifestyles to achieve sustainability goals. Despite some slowdown in EV adoption in certain markets, Honda remains confident in the long-term prospects of EVs, projecting them to dominate the market in the latter half of the 2020s. Honda’s approach differs from that of rival Toyota, as it focuses solely on battery and fuel-cell EVs while continuing to produce hybrids as it ramps up EV output and battery production.
A significant portion of the 10 trillion yen investment will be allocated to research and development on software, setting up comprehensive EV value chains globally, and building next-generation EV production plants. Honda also highlighted partnerships with companies like IBM and Nissan to collaborate on developing future vehicle technology such as computer chips and software for intelligent driving. Mibe stressed the importance of preparing for electrification by making strategic investments in various areas of production and development for EVs.
The introduction of the “0 Series” by Honda is set to kick off in North America in 2026 before a global rollout, with plans to launch 10 EV models in China by 2027. The company’s vision is to lead the charge in transforming lifestyles for sustainability without waiting for others to take action. This aligns with Honda’s goal of staying ahead of the curve in the transition to EVs and ensuring that it remains at the forefront of the evolving automotive industry. Honda’s robust investment plan underscores its determination to navigate the shift towards electric mobility successfully and secure a strong position in the global EV market.
