Honda Is Pulling A Toyota On Its Upcoming Large, Quirky SUV

It also confirmed a delay to three upcoming EVs based on the 0 Series SUV concept, launching between 2027 and 2028. Now, that plan has been scrapped for one of those three electric SUVs, according to a fresh report from Tokyo.It also confirmed a delay to three upcoming EVs based on the 0 Series SUV concept, launching between 2027 and 2028. Now, that plan has been scrapped for one of those three electric SUVs, according to a fresh report from Tokyo.

The information came from Nikkei Asia, which cites the continued weakening demand for EVs in the US as the main reason for the cancelation. In particular, the Japanese marque has projected a further delay in EV adoption in America due to the recently passed "Big, Beautiful Bill," which will remove the $7,500 federal tax credit on qualified brand-new EVs after September 30, 2025.

Large Electric SUV For America Axed

It's important to note that the report claims that only the large electric SUV has been canceled. The battery-powered midsize SUV and sedan, which were both previewed by the 0 Series Concepts, are still happening, with the low-slung model arriving first in 2026. Honda has also started showing the midsize 0 Series SUV to the public during the Japanese Grand Prix in April.

The large SUV was supposed to be primed for the American market, where 60% of the automaker's sales are for high-riding models. However, due to the higher cost of development, the declining demand posed uncertainty in terms of sales. Honda has previously announced a reduction in its EV-related investments through the end of the decade, from 10 trillion yen ($69 billion) to 7 trillion yen ($48 billion).

Investing More In Hybrids For More Revenue

Unsurprisingly, the automaker will now allocate its resources to pushing for the development of hybrids. Looking back at its 10-year plan, the automaker is almost confirmed to be electrifying its entire lineup, including possible hybrid versions of the Pilot, Passport, and Odyssey, which will push sales and revenue for the automaker while preparing for another wave of EV push.

Toyota recently pulled a similar move for its upcoming electric SUV, delaying its American-built SUVs and reallocating its upcoming production due to the popularity of the Grand Highlander. The launch of the two EVs will now happen in late 2026 and 2028. Ford also recently announced a detour in its EV plans, which involves allowing Nissan to use a part of its flagship battery manufacturing facility in Kentucky.