Honda’s Flagship Electric SUV For America Is Already Dead

Honda’s Flagship Electric SUV For America Is Already Dead originally appeared on Autoblog.

Honda backtracks on large EV as hybrid plans prioritized

In May, Honda announced that it would be scaling back its EV investment plans, partly because of an unstable international trade environment and also due to changing emissions regulations. This step away from a heavy EV commitment has now resulted in the scrapping of at least one specific model, that being a previously planned large electric SUV. As per Nikkei Asia, this model - likely a three-row SUV that would have rivaled the likes of the Kia EV9 - will be scrapped due to lessening EV demand in the United States.

New EV Series Not Being Cut Entirely

Honda’s next generation of EVs won’t fall away completely, of course. While the large SUV meant for a 2027 release is gone, the brand will still move ahead with electric models like a mid-size SUV and flagship sedan.

While Honda knows how important SUVs are in the United States, procurement costs for especially big models are much higher. EV incentives are also expected to fall away under the Trump administration, further hindering Honda’s progress in the EV space. Even after Trump's current term ends, Honda believes EVs will still take a while to see increased demand.

“The Trump administration will remain in power for four years, but that doesn’t mean that EV demand will bounce back immediately," said Toshihiro Mibe, Honda CEO, back in May. "I think it will be pushed back by about five to six years.“

Related: Princeton Reports that Trump's 'Beautiful Bill' Threatens to Decimate EV Growth by 2030

Honda has lowered its EV investment plans substantially through 2030. Initially, this number was 10 trillion yen ($69 billion), but it is now sitting at 7 trillion yen, partially due to the large SUV being canceled.

The midsize electric SUV that’s still set to go into production was previewed by the 0 series concepts to start the year, and it’s expected to feature Level 3 autonomous driving capability.

Honda Hybrids Still Set For Major Growth

While many automakers reel in their EV growth plans, hybrids are going in the opposite direction. Honda will launch 13 models from 2027, with targeted sales of 2.2 million hybrid cars by 2030.

Honda already enjoys high demand for hybrid models like the CR-V and Civic. Over the coming years, we wouldn’t be surprised to see Honda turn to hybrid powertrains exclusively for models like the Accord. Toyota has already made the switch to hybrid-only power for the Camry, and the RAV4 is set to follow for the 2026 model year.

While a three-row Honda EV is now seemingly out of the question, we expect to see at least one three-row hybrid, which will give Honda a more efficient alternative to the current Pilot.

Related: EV vs Hybrid vs Gas: Which Saves More Money Over 10 Years?

Honda’s Flagship Electric SUV For America Is Already Dead first appeared on Autoblog on Jul 7, 2025

This story was originally reported by Autoblog on Jul 7, 2025, where it first appeared.