Honda: €37 Billion for New Models and Solid-State Battery Technology

In terms of electrifying its model range, Honda doesn't have much to offer yet. The world's seventh-largest car manufacturer currently has just one all-electric car in its lineup, the Honda E. Now, Honda announces plans to invest nearly 37 billion euros in the development of new electric models.

Only a Few Models for Europe, Collaborations in the USA and Japan

Just recently, the Japanese car manufacturer reaffirmed its commitment to completely phase out combustion engines by 2040. For the European market, an SUV is expected in 2023 that will likely be based on the e:NY1 concept. Out of a total of three electric models, Honda promises for Europe, but the USA and Asia remain the most important markets for Honda.

In the United States, Honda recently entered into a collaboration with General Motors to develop and produce affordable vehicles, with a large SUV announced. For China, the Japanese company has announced plans to launch ten new electric models within the next five years. For the domestic market in Japan, a small utility vehicle will come by 2024, and an SUV and a mini-passenger car are also in the pipeline. Additional models will be developed in collaboration with the electronics company Sony. An entire family of electric vehicles, which will set standards especially in digitalization and connectivity, is expected in the coming years.

To produce the new models, a new plant exclusively for electric cars is to be established in the USA, and even two new production sites will be built for the Chinese market.

Solid-State Cells and Battery Manufacturer Collaborations

Honda sources its energy storage from various manufacturers. For mini vehicles intended for the Japanese market, they purchase from Envision AESC, while vehicles in China are equipped with batteries from CATL. In the USA, Honda collaborates with General Motors, utilizing the American company's battery technology.

A pilot plant is scheduled to start operations by 2024, initiating the production of solid-state batteries. This facility will gather experience for research and development. The solid-state batteries are planned for use in Honda vehicles that will be introduced to the market in the second half of the 2020s. A total of 315 million euros will be invested in establishing Honda's own solid-state battery production.