Honda kills EV development in the US

litlsea

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Another pile of money lost. I drove my Clarity PHEV for 5 years and 70,000 miles with 90% of my miles on battery. Only issue was one bad wheel bearing replaced under warranty. Honda made a big mistake not releasing the CRV with that drive train like they did in China.
 

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GreaseMonkey

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It feels to me that there were a set of companies that were reluctantly going along for the ride, with no real conviction that EVs are the future of automobiles. They are showing that lack of conviction now. I predict that they will be left behind.
 

wmaney

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Interestingly, though, both BMW and Volkswagen face 15% tariffs on their new electric iX3 (BMW) and the EX60 (Volvo) vehicles, yet both are bringing the cars to the US. Neither vehicle will be made in the US. The BMW will be made in Hungary and the Volvo will be made in Sweden. Somehow, these companies are able to tolerate the tariffs or just plan on passing them onto their customers.
 

DesignMatters

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It feels to me that there were a set of companies that were reluctantly going along for the ride, with no real conviction that EVs are the future of automobiles. They are showing that lack of conviction now. I predict that they will be left behind.
They aren’t the future, gas hybrids and EREV’s w ICE to charge the battery are. BEV is a costly and expensive solution, the free market has spoken and BEV’s will fade away to be replaced as indicated above.
 

E90alex

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Interestingly, though, both BMW and Volkswagen face 15% tariffs on their new electric iX3 (BMW) and the EX60 (Volvo) vehicles, yet both are bringing the cars to the US. Neither vehicle will be made in the US. The BMW will be made in Hungary and the Volvo will be made in Sweden. Somehow, these companies are able to tolerate the tariffs or just plan on passing them onto their customers.
The Euro brands can command a higher price to offset some of the tariffs due to their perceived premium/luxury position in the market.

Also they were developed with the European markets in mind first, which are still moving ahead with EVs. The cars were still going to be put into production with or without the US. They also already have the factories and supply chain infrastructures in place since they have already been producing EVs.

The Hondas and Acuras were intended for North America and Honda has zero infrastructure for EV production in the US. So that would have been a significant upfront cost to build out before even thinking about the actual cars rolling off the line.

Still disappointing to see and this will set Honda back decades once we move on from this administration.
 

Billyk24

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The Euro brands can command a higher price to offset some of the tariffs due to their perceived premium/luxury position in the market.

Also they were developed with the European markets in mind first, which are still moving ahead with EVs. The cars were still going to be put into production with or without the US. They also already have the factories and supply chain infrastructures in place since they have already been producing EVs.

The Hondas and Acuras were intended for North America and Honda has zero infrastructure for EV production in the US. So that would have been a significant upfront cost to build out before even thinking about the actual cars rolling off the line.

Still disappointing to see and this will set Honda back decades once we move on from this administration.
The Euro brands can command a higher price to offset some of the tariffs due to their perceived premium/luxury position in the market.-------Rivian just announced their newest vehicle the R2. Launch edition will start at like $57K plus other stuff. The R2 Premium which is a step down from the Launch edition will start at around $53K. Going north of $50K USA is pushing into the premium/luxury EV position. One would think Honda would have $ space to bring an EV to the market. Ford is banking on a $30K vehicle for 2027 which might be in reality $35K
 

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They aren’t the future, gas hybrids and EREV’s w ICE to charge the battery are. BEV is a costly and expensive solution, the free market has spoken and BEV’s will fade away to be replaced as indicated above.
Hybrids and EREVs are stepping stones, IMO. These technologies are a stop-gap until battery tech matures. That said, I can't really blame the manufacturers who have taken a step back from EV sales due to the current US admin.
 

GreaseMonkey

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They aren’t the future, gas hybrids and EREV’s w ICE to charge the battery are. BEV is a costly and expensive solution, the free market has spoken and BEV’s will fade away to be replaced as indicated above.
Good luck
 

Detroit33

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according to Honda
"American tariff policies and the unpredictable nature surrounding American EV incentives and fossil fuel regulations."

Sad to the see the US marching backwards...
I don't know that I would agree that it is the US that is marching backwards on this particular issue (other issues, yeah, I'm with you). 1) Honda can easily solve their tariff issue by building the vehicles here, so that's on Honda as far as I am concerned. And 2) building a business case around government incentives is not a smart plan long-term, either. Everyone knew those incentives were going away sooner or later. If they build a compelling product at a competitive price and do it in the US, it solves their problem.

I agree with GreaseMonkey in that these multi-year delays many companies are adding in to their EV development is going to come back and bite them in the ass. I think the slow, steady approach that Toyota is taking will turn out to be a better approach. And they were never the ones to get on the EV train or shout it from the rooftops, in fact they were just the opposite. But, yet, we see them continuing to develop and improve their products. They will be learning and iterating while many other companies are stationary or even going backwards. I foresee these other companies being forced to jump back in 4-8 years from now with products that will be at least a generation behind (and then looking for gummint subsidies to help them along).
 
 







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