Honda has canceled three electric vehicles it was developing for the US market, blaming President Donald Trump’s tariffs and increasing competition from Chinese EV companies.
Honda said Thursday that Trump’s tariffs have hurt the company’s gas and hybrid vehicle business, putting its overall automobile business in an “extremely challenging earnings situation.”
With the “inability to respond flexibly” to competition from China and slow growth in the US market, the company said it has decided to cancel Honda 0 SUVs and 0 saloons, which It was first shown at the 2025 Consumer Electronics Show. The electric Acura RSX has also been scrapped.
The Japanese automaker said it would “reevaluate its resource allocation and further strengthen its hybrid models” in the US market. The company warned that all these changes could cause Honda a loss of up to $15.7 billion.
Honda joins a long list of legacy automakers that have withdrawn plans for electric vehicles they once planned to sell in the US.
