Skip to main content

Honda announces plan to eliminate gas-powered vehicles by 2040

April 26, 2021

Argus Media:

Japanese carmaker Honda Motor has set a target for battery-operated electric vehicles (EVs) and fuel cell EVs (FCVs) to make up 100pc of all its new car sales globally by 2040, as it looks to become carbon-free on a “tank-to-wheel” basis, chief executive Toshihiro Mibe said today.

Honda plans to tackle the challenge through a collective effort across its entire value chain. The ratio of EVs and FCVs to total new car sales is targeted to hit 40pc by 2030 and 80pc by 2035, Mibe said.

Mibe, the former head of Honda’s research and development arm, became Honda’s chief executive on 1 April in place of Takahiro Hachigo, who had held the position for six years.

Honda will strive to increase the EV/FCV ratio to 20pc of all new car sales in Japan by 2030, before further raising it to 80pc by 2035 and 100pc by 2040. But its automobile unit sales are expected to be fully electrified by 2030 when hybrid-electric vehicles are included, he added.

Honda’s global car production dropped by 15pc on the year to 4.4mn units in 2020. Domestic car production fell by 13pc to 729,500 units last year. Honda last year launched the Honda e, its first mass-market EV. 

[Rieko Suda]

More: Honda to sell only electric, fuel cell vehicles by 2040

Join our newsletter

Keep up to date with all the latest from IEEFA