Honda and GM have given up on their plan to co-create affordable EVs

Honda and GM are abandoning their plan to develop a line of affordable electric vehicles together. Under the program, which was announced in April 2022, the two had that would start at less than GM’s upcoming $30,000 electric Chevrolet Equinox. The first models were expected to start releasing in 2027.

Toshihiro Mibe, CEO of Honda, confirmed the project’s cancellation in an interview with Bloomberg, saying “we decided that this would be difficult as a business, so at the moment we are ending the development of an affordable EV.” Both companies will separately continue exploring options to bring down EV costs, Mibe said.

The decision comes amid industry wide EV production slowdowns and an ongoing United Auto Workers strike, which has GM at its center. Just this week, GM announced it would be that use its Ultium battery pack, including the Equinox, Silverado and GMC Sierra EVs. As part of the now-scrapped affordable EV program with Honda, the companies intended to develop Ultium-based small crossover SUVs to compete with Tesla.

It was just one of several projects Honda and GM have been working on together, and it doesn’t seem its dissolution will have any effect on the others. The companies a few days ago announced they’ll be working with Cruise to launch a driverless ride-hailing service in Japan in 2026.

About Ajay Sharma 1347 Articles
My name is Ajay Sharma and i am a seasoned content writer with over a decade of experience in creating engaging and informative articles. Based in Jaipur, Rajasthan, My blog on onhike.com covers a wide range of topics, including Technology, Sports, Lifestyle, Finance, and Health. With a deep passion for writing and a keen interest in current trends and innovations, My aims to provide valuable insights and meaningful content to readers.

Be the first to comment

Leave a Reply

Your email address will not be published.


*