Honda Scraps Three Upcoming EVs, Posts First Annual Loss in Decades

Honda has pulled the plug on three nearly finished electric vehicles and absorbed a multi-billion-dollar hit, marking its first net loss since it listed on the Tokyo Stock Exchange in 1957. The automaker had planned to build the Honda 0 SUV, 0 Saloon, and Acura RSX at its new EV Hub in Marysville, Ohio, but canceled those projects as of March 2026.

Instead, the plant will now produce gas-powered and hybrid vehicles, with Honda citing \"flexible production capability\" as a way to share platforms and parts across powertrain types.

7 billion cost, partly tied to Honda's battery partnership with LG Energy Solutions, which made cells too large for the smaller batteries hybrids need. In June. Honda announced a new collaboration with San Jose-based QuantumScape to develop solid-state lithium-metal batteries, shifting focus away from its earlier EV push.

The company also scrapped plans for an EV plant in Canada and is pivoting back to hybrids.

S. emissions rules and the end of the $7,500 federal EV tax credit, which slowed EV demand. S. battery facilities. Honda was late to localize production, leaving it exposed to tariffs and outdated tech. Looking ahead. Honda confirmed a hybrid-only Element return, set to rival the Ford Bronco Sport, and an Acura RDX redesign featuring a V6 dual-motor hybrid system first shown in 2025.

A third-generation Ridgeline is planned for 2029, though its powertrain remains unannounced. Honda admits it doesn't know where the EV market is headed, but with EVs projected to hit 29% of new car sales by year's end, it's a segment it can't ignore, even if its current strategy means waiting for solid-state tech to mature.