Honda’s EV Retreat Poses Major Ramifications for Japanese Clean Tech
Honda has scrapped battery-electric vehicle programs it was building for the American market and absorbed a multibillion-dollar write-down to do it. The announcement has trained a harsh spotlight on something bigger than a single corporate miscalculation. Across Japan's automotive industry, a strategic failure has been accumulating quietly for years. Honda has now brought it into plain view. Several pressures converged to produce Honda's decision. Chinese manufacturers entered global markets with electric vehicles that incumbents struggled to match on price. U.S. tariffs added financial complexity to Honda's American operations, and both issues are underpinned by a larger structural issue. Government backing for hydrogen drew engineering resources toward fuel-cell…