Honda shelves plan to co-develop smaller EVs with GM: Report

Honda shelves plan to co-develop smaller EVs with GM: Report

Honda Motor is shelving plans to jointly develop affordable electric vehicles (EVs) with General Motors due to a changing business environment, Bloomberg News reported. After a year of study, Honda CEO Toshihiro Mibe stated that the joint development of an affordable EV would be difficult as a business, leading to the cancellation of the project. General Motors and Honda will now pursue separate solutions. The two companies had previously agreed to produce lower-priced EVs based on a new joint platform, potentially starting in 2027. However, GM recently withdrew its 2023 profit projections and short-term plans for EV production due to escalating costs caused by United Auto Workers strikes.

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