Trump’s Presidency Influences Honda’s Strategic EV Rollout Plans

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Honda Motor is taking a cautious approach to launching new electric vehicles (EVs), citing uncertainty surrounding President-elect Donald Trump’s industrial policies, a senior executive said on Tuesday.

The comments from Japan’s second-largest automaker reflect the global business community’s watchfulness as Trump prepares to assume office on Jan. 20. “Because of Trump’s initiatives, we may need to carefully consider the timing for starting production of new EV models,” said Honda Executive Vice President Noriya Kaihara at the CES technology conference in Las Vegas.

Kaihara also noted that Honda would proceed cautiously with plans for a battery plant in Canada, considering regulatory changes and trends in the EV market. "We might need to delay the start of EV production to some extent," he added.

At CES, Honda showcased prototypes of its upcoming Honda 0 electric vehicles, including an SUV model set for a North American launch in the first half of 2026. These vehicles will feature "eyes-off" autonomous driving technology and will later expand to markets in Japan and Europe.

While Honda is committed to selling only EVs and fuel cell vehicles by 2040, it continues to enhance hybrid models as a strategic focus for the U.S., where EV market growth has slowed.

Trump’s return to the political stage adds complexity to Honda’s EV transition and North American operations, a challenge shared by other global automakers like General Motors and Stellantis. In November, Honda’s Chief Operating Officer Shinji Aoyama mentioned the potential need to shift production if the U.S. imposes permanent tariffs on vehicles imported from Mexico, as proposed by Trump.

On the topic of potential collaboration with Nissan, Japan’s third-largest automaker, Kaihara acknowledged Nissan’s "slight overcapacity in North America" and hinted at possible workforce reductions, though he declined to elaborate on merger discussions.

 

 

 

 

 

 

 

Paraphrasing text from "Reuters" all rights reserved by the original author.