Japanese car giant Honda targets EV expansion, earmarks billions for R&D

Honda plans to invest around 5 trillion yen ($39.9 billion) in electrification and software technologies over the next 10 years, with the Japanese automotive giant aiming to launch 30 electric vehicle models worldwide by 2030.

In a statement Tuesday, the company said approximately 3.5 trillion yen would go toward research and development expenses, with 1.5 trillion yen focused on investments.

Honda said it would target an EV production volume of over 2 million units per year in 2030. Its total budget for R&D expenses in this timeframe would amount to roughly 8 trillion yen, or approximately $63.9 billion, it said.

When it comes to production, Honda said it would look to set up what it called a "dedicated EV plant" in the Chinese cities of Guangzhou and Wuhan. The firm said it was also "planning for a dedicated EV production line" in North America.

On the battery front in North America, the company is to "procure Ultium batteries from GM. Separately, aside from GM, Honda is exploring the possibility of creating a joint venture company for battery production."

Just last week, Honda and GM announced they would develop a series of affordable electric vehicles based on a new global platform.

Keywaylock
21/01/2023
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