Honda has revealed plans to spend $64 billion on research and development over the next decade, underpinning an ambitious target to roll out 30 electric vehicle models and produce two million electric vehicles a year globally by 2030. The investment should also see the start of “demonstration line” solid state battery production by 2024.
The strategy signals Honda’s intent to up its stake in the electric vehicle transition, a market in which Japanese car makers often appear behind the curve.
Even so Honda says it won’t give up on older, hybrid technology especially in some emerging markets where infrastructure to support full battery electric vehicles will be a long time coming.
“By no means is this the end of hybrids and the replacement of all hybrids with EVs,” said Honda Chief Executive Toshihiro Mibe. “Honda believes that a multifaceted and multidimensional approach is needed, not a mere replacing of engines with batteries.
“Honda will offer a variety of solutions for all of its mobility products according to how its customers use the products in various countries and regions,” added Mibe, citing swappable batteries and hydrogen.
The news of Honda’s big EV investment follows its recent announcement that it will work with General Motors to codevelop “affordable electric cars for markets around the world”.