Honda Motor Reports First Annual Loss in 70 Years Amid EV Restructuring
Summary
Honda Motor reports its first annual loss in approximately 70 years, incurring over $9 billion in expenses due to restructuring its electric vehicle business.
Key Points
- Honda Motor has reported its first annual loss since 1957 due to over $9 billion in EV business restructuring costs.
- The company abandoned its goal of making EVs 20 percent of new car sales by 2030 and canceled the plan to convert all sales to electric or fuel-cell vehicles by 2040.
- Honda indefinitely postponed an $11 billion EV and battery production project in Canada.
- Profitable motorcycle business is sustaining Honda's cash flow while the auto business struggles to compete.
