Honda is charging ahead with its EV dream, announcing that by 2030 they will reduce the cost of batteries in North America by more than 20% compared to the cost of current batteries. “Honda will establish a competitive business structure with an aim to reduce overall production cost by approximately 35%,” states the company’s 2024 Business Briefing Summary. To this end, Honda is planning to invest 10 trillion yen over a 10-year span.
“For Honda to realize its electrification strategy, it will be essential to make investments strategically at the right timing. Therefore, Honda is planning to invest approximately 10 trillion yen in resources over the 10-year period through FY2031, when the period of full-fledged popularization of EVs is expected to start. Specifically for motorcycles, “Approximately 6 trillion yen, a sum of 3 trillion yen for development-related expenditures and 3 trillion yen for investments, for the areas related to our Monozukuri (art of making things), including:
- The area of production that includes the construction of dedicated next-generation EV production plants
- Electrification of motorcycles
“Honda has not changed its belief that EVs are the most effective solution in the area of small mobility products such as motorcycles and automobiles, and Honda’s electrification target to make EVs and FCEVs represent 100% of its global vehicle sales by 2040 remains unchanged,” the summary concludes. “Honda must look ahead to the period of EV popularization and build a strong EV brand and a strong EV business foundation from a medium- to long-term perspective.”