Japan’s Honda Motor Co. is set to launch a small electric vehicle (EV) priced below $30,000 in North America by 2026, signaling its intent to increase investment in the battery-powered car market.
According to 28 January reports by Nikkei, Honda will manufacture the low-cost model locally in North America as part of its scheduled “Honda 0 Series” global EV lineup.
While the company has confirmed plans to launch a sub-$30,000 EV, no final decision has been made yet about its release in North America.
Honda’s bold move with a sub-$30K EV for North America
Honda has expressed its commitment to introducing the series globally, with the North American market being an integral point for the initial rollout.
The new initiative marks a significant step for Honda, which has been slow to enter the EV race compared to its U.S., European, and Chinese counterparts.
As the world transitions toward electrification, Honda has found itself dropping behind dominant players like Tesla, Volkswagen, and BYD, who have commanded a huge market share with their electric offerings.
The automaker targets a future where battery-powered and fuel-cell vehicles account for 100% of its new car sales by 2040, in response to the increasing demand for sustainable transportation solutions.
Apart from the upcoming EV, Honda’s 2025 lineup will feature the Prologue, the brand’s first all-electric SUV, offering up to 296 miles of range. The SUV will be available in front-wheel and all-wheel drive configurations.
Competing with gasoline cars
The EV market in North America has thrived over the past four years because of support from the Biden administration through incentives to buy electric cars
With the withdrawal of such incentives by the new Trump administration, many car buyers may resort to the cheaper gasoline vehicles
This is an opportunity for gasoline cars to take the stage, but with Honda’s cheap EV model, the company intends to stay afloat in the market against all odds.
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