Honda has had a rough time with its electric vehicle (EV) push. Just as it was pushing the 0 Series lineup over the past few years, the project has been largely cancelled, except for the 0 α (alpha). The latter is an entry-level electric crossover SUV that’s primarily for Asia, and since this region continues to accept EVs in droves, this vehicle is still pushing through.
Apart from most of the 0 Series lineup, the Acura RSX electric crossover also got cancelled. The Afeela EV brand, which was created with Sony is also been cancelled. These cancelled projects aren’t in their infancy stages, either. Significant money has already been poured, as some models are already in an advanced development stage.
Due to these sweeping changes to its product strategy, Honda has revealed today its hybrid-dominant plan to recover those losses. 15 models will be released across Honda and its luxury brand Acura, and two of those have been previewed in pre-production prototype forms with soon-to-be-announced model names. These two models have a planned debut within the next two years.
The Honda sedan concept is a wedge-shaped hybrid wherein the low-slung shape, long hood, and distinct fastback profile give it a very dynamic appearance. The front end has separate LED headlights and daytime running lights, while the side profile features a single crease line that broadens its appearance. Unfortunately, the rear end is obscured from view, so we have no clue what it could look like.
This is likewise the same case for the Acura-branded hybrid luxury SUV. While the rear end is obscured, the overall shape is somewhat like a more modern take of the Acura MDX, albeit with design hints of the cancelled RSX. Up front, there’s a slim LED daytime running light that’s separate from the main LED headlights. The swoopy shape results in an aggressive front-end design. At the sides, the Acura pre-production prototype has subtle gloss black cladding, along with a rising window line with a tapered roof.
These two models, along with the 13 other models, will come with Honda’s upcoming new hybrid system, which has the noble goal of one day being the “world’s most efficient powertrain” when it gets released in 2027. To achieve this, the hybrid system aims to be more than 10 percent efficient versus the current hybrid system that debuted in 2023. A new platform is also being developed, which promises reduced weight, along with a 30 percent reduction in costs.
This doesn’t mean that their EV development has been halted. As mentioned, the 0 α is still in development, while their EV development speed is also market dependent. In the case of China and its rapidly developing EV market, Honda will increase its local parts utilization in their region. They will also utilize platforms from its joint venture partners in China.
In the mechanical and software aspect, Honda will still develop a platform for future EVs. Its software-defined vehicle (SDV) architecture called Asimo OS will still push through as well. As for its finances over the next three years, budget for EV development will be reduced to 0.8 trillion yen, primarily in response to declining EV demand in the United States. As for software development, it is pegged at 1 trillion yen, while gasoline and hybrid vehicle budget is going to be at 4.4 trillion yen. This results in a total three-year budget of 6.2 trillion yen.
In the fiscal year ending March 2026, Honda suffered its first-ever loss driven by its cancellation of its EV project as a result of declining EV sales in the United States—by far Honda’s largest market. This three-year plan aims to bring Honda’s automobile division to profitability as they expect to generate more than 7 trillion yen, excluding its EV-related losses.






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