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Honda Is Ready To Bet Big On America

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Honda's Next Move After Its EV Reset

Honda’s big North American EV dreams just went up in smoke, and it cost them billions. But instead of moping, Honda is already eyeing its next move – doubling down where it knows how to win: North America.

Honda CEO Toshihiro Mibe just let slip that the company is thinking about building yet another North American plant. This time, the focus looks set to shift from all-in on EVs to more hybrids and good old-fashioned local manufacturing.

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PHILIP FONG/AFP via Getty Images

More Capacity, More Hybrids

Mibe told Japan’s Yomiuri Shimbun that North America is Honda’s bread and butter, making up over 40% of global sales. The seven factories here are already running flat out, so there’s not much wiggle room if things go sideways or demand spikes.

"We need another production base," Mibe told the newspaper, adding that Honda's guiding principle is to build vehicles where demand exists.

All this comes just months after Honda pulled the plug on its massive Ontario EV project and pivoted back to hybrids. Mibe stands by the call, saying Americans won’t be all-in on EVs for at least another five years. Until then, hybrids will keep Honda’s lineup humming while they tinker with the next wave of electric tech.

Honda’s PR team says nothing’s official yet, but boosting production is definitely on the table as they map out their next big play.

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Honda

Already One Of America's Biggest Builders

Funny enough, Honda doesn’t really need to prove it’s American enough. The latest Cars.com American-Made Index has Toyota at the top with 14 cars, but Honda is right behind with 13. Even better, Honda’s Alabama plant has cranked out more top-10 vehicles than any other factory since the rankings began.

It’s not just about the badge, either. Where the car’s built, how many American parts go in, and even who builds the engines and transmissions all count toward the final score.

That’s why so-called ‘foreign’ brands sometimes beat Detroit at its own game. Honda’s been pouring money into American factories, suppliers, and workers for decades, and another plant would just make those roots even deeper.

If Honda does pull the trigger on an eighth North American factory, it’ll be another move to double down on local production, hybrids, and staying nimble instead of chasing EV hype before the market’s ready. After a pricey misstep, going even more American might just be the smartest play.

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Honda

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