The rebirth of the car industry
Honda just wrote down $15.7 billion on its EV strategy. Cancelled three models months before launch. Flagged its first annual loss in nearly 70 years as a listed company. The Honda 0 Saloon, 0 SUV and Acura RSX are dead. The Ohio EV hub that was supposed to build them sits waiting for a purpose.
It is a staggering number. But it is not surprising.
Honda bet heavily on the US market for its electric future. Then the One Big Beautiful Bill Act killed federal EV tax credits, replacing them with interest deductions for US-made cars. The business case for Honda’s planned EV imports evaporated overnight. CEO Toshihiro Mibe admitted “the situation changed far more rapidly than we expected.” Battery-powered cars accounted for just 2.5% of Honda’s 3.4 million global sales last year. They were never close to ready.

