Honda May Sales Tumble 4.9% While Ohio Plant Shifts to $2.5B AI Batteries
HMC•Honda Motor Co’s global May sales fell 4.9% to 283,623 units, with Middle East volumes plunging 52% on regional disruptions and China’s EV competition. It will repurpose its Ohio battery plant—acquired from LG for $2.5 billion—toward AI data center storage and 2028 hybrid vehicle batteries after scaling back EV plans.
1. May Global Sales Drop
Honda Motor Co’s global May sales fell 4.9% year-over-year to 283,623 units, marking the fourth straight monthly decline. Middle East volumes plunged 52% due to regional disruptions, while fierce competition in China’s EV segment drove a 31.7% sales drop.
2. Ohio Plant Repurposing
Honda acquired its Ohio battery plant from LG Energy Solution for $2.5 billion and will redirect capacity toward AI data center energy storage systems. Original plans for three U.S. EV models were halted, and hybrid vehicle battery production will begin in 2028 as the company adjusts to softer EV demand.
