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Honda cancels three planned US EVs, cites tariffs and Chinese competition
Honda has announced it is canceling three electric vehicles it had planned for the U.S., citing trade tariffs and growing competition from Chinese EV makers.
The company said Thursday that tariffs imposed under President Donald Trump have hurt its gas and hybrid vehicle sales, creating a “very challenging earnings situation” for its overall U.S. operations. Combined with slowing growth in the American market and difficulty responding quickly to Chinese competitors, Honda decided to scrap the Honda 0 SUV and 0 Saloon, first unveiled at the 2025 Consumer Electronics Show, as well as the electric Acura RSX.
Honda said it will now focus on reallocating resources to strengthen its hybrid lineup in the U.S. market. The automaker warned that these moves could cost the company up to $15.7 billion. The decision adds Honda to a growing list of traditional automakers that have abandoned or delayed EV plans in the U.S. due to economic and competitive pressures.
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