Honda Pulls A Toyota On Its All-Electric Strategy

3 months, 3 weeks ago - 12 August 2025, CarBuzz
Honda Pulls A Toyota On Its All-Electric Strategy
"Carbon neutrality" - that's the buzzword among automakers these days (and for the past half-decade), with innocent readers taking it as an announcement to go full-electric at a given timeframe. However, not all car companies are on that bandwagon.

There are those who believe in a holistic approach. We're talking about Toyota, but the Japanese marque is now not alone in this. Honda also believes that carbon neutrality doesn't mean going all-in on EVs.

In an interview with Drive, Honda Australia president and CEO, Jay Joseph, went on record and said that battery-electric vehicles (BEVs) are just part of its journey to being carbon-neutral by 2050.

"BEVs are not the goal, better electric vehicles are a pathway to achieving carbon neutral, not necessarily the only pathway," Joseph told the Australian publication. "BEVs will continue to improve, we’re working on solid-state batteries, but our goal is carbon neutral, not battery electric vehicles."

Other Avenues To Carbon Neutrality
Honda has already started on other avenues to achieve carbon-neutrality. The most obvious one is hybrids, and Honda is doing great with that. In the US, the automaker has revealed a barrage of hybrid models arriving within the next 10 years; virtually every vehicle in its stable will get some form of electrification to join the Honda Civic and CR-V. The strategy varies per country, of course, though the gist is there - Honda's aggressive in introducing more hybrid models, spearheaded by its next-generation hybrid powertrain.

Honda Prelude front quarter on-roadHonda

However, this isn't just the Japanese automaker's strategy. Just like Toyota, Honda is also dipping its toes into hydrogen technology - unlike other brands, like Stellantis, that have already backed out in pursuing what we think is the cleanest form of combustion. And also, just like Porsche, Honda could also take the synthetic fuel route. Other Japanese automakers have already joined forces in its development; maybe it's time for Honda to join in.

Hybrids Are The Way To Go
This holistic approach brought ridicule to Toyota back when all other automakers were putting all their eggs inside the proverbial EV basket. But as sales numbers suggest, Toyota has been right all along - and Honda obviously has seen the positive effects of changing its gear toward the hybrid push. The current growth in sales points toward a better business case for hybrids, leading to Honda canceling one of its upcoming electric SUVs for America.

Honda 0 Saloon And 0 SUVHonda
Of course, the numbers point to a short- to mid-term trend. There are other variables that may or may not affect strategies among automakers. During the transition period, however, hybrids and BEVs are the way to go. Joseph even believes that there will come a time when all models will be electrified, though, again, it won't be the endgame or the ultimate goal.

"I think at some point we’re going to be all hybrid, all electrified, but this is just another step in that particular transition," Joseph said.

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