Honda has reduced its spending on EV models by 30%, redirecting the funds to hybrid drivetrain development instead.
This decision might be influenced by slower EV adoption rates globally and the elimination of the US federal tax rebate for EVs.
The budget cut led to the cancellation of a three-row SUV aimed at the North American market, aligning with a trend of other automakers revising their large EV SUV plans.
Despite the budget cut, Honda still has several EVs in the pipeline, including the Afeela 1 electric sedan, jointly developed with Sony, and the Super EV Concept hatchback.