Honda Cancels Three U.S. EV Launches After $15.7B Writedown
Honda is cancelling U.S. launches of three EV models—the Honda 0 SUV, Honda 0 Saloon and Acura RSX—after a $15.7 billion writedown drives EV losses near $16 billion. The automaker will continue gasoline and hybrid assembly at Ohio plants and localize hybrid battery production with its LG Energy Solution JV.
1. EV Model Cancellations
Honda is cancelling the planned U.S. launches of three electric models—the Honda 0 SUV, Honda 0 Saloon and Acura RSX—effectively halting output at its newly established Ohio EV Hub. The decision reflects sharply declining EV demand and aims to prevent further long-term losses.
2. Financial Impact
The automaker recorded a $15.7 billion writedown on its EV business, driving total losses in its EV unit to nearly $16 billion. This marks Honda’s first annual loss in decades and prompts a strategic reassessment of resource allocation.
3. Production and JV Strategy
Honda will maintain gasoline and hybrid vehicle assembly at its Marysville and East Liberty plants in Ohio. The company is advancing plans to localize hybrid battery and energy storage production through its joint venture with LG Energy Solution in Jeffersonville.