Honda Targets Sub-$30K Model, U.S. Production Planned for 2026: Report

Honda is reportedly preparing to enter the affordable electric vehicle (EV) segment in North America with a sub-$30,000 model, targeting a 2026 launch. To help achieve this price point, Honda aims to produce the vehicle in the U.S., likely in Ohio, where the company has been investing heavily in EV infrastructure, according to a report by Japan’s Nikkei.

This budget-friendly EV is expected to be part of the automaker’s upcoming “Honda 0 Series,” which will introduce next-generation technology aimed at improving efficiency and affordability.

Unveiled at CES 2025, the Honda 0 Series represents the company’s next-generation EV platform. The lineup includes the Honda 0 SUV and the Honda 0 Saloon, both expected to debut in North America in 2026. These vehicles feature Honda’s proprietary EV architecture, emphasizing a “Thin, Light, and Wise” design philosophy to enhance efficiency and performance.

The series will also incorporate advanced digital features, including the ASIMO OS and Level 3 autonomous driving capabilities.

Honda’s decision to manufacture in the U.S. aligns with ongoing efforts to mitigate tariffs on imported EVs, one of the policy shift expected under the Trump administration. By keeping production domestic, Honda can maintain competitive pricing while avoiding potential import restrictions.

Despite Honda’s ambitious plans, the success of its affordable EV will depend on several factors. Battery technology remains a crucial consideration, as cost reductions in batteries could significantly impact pricing and performance. Honda CEO Toshihiro Mibe has previously suggested that achieving a $30,000 price point may require breakthroughs in battery efficiency, which could push the timeline beyond 2026.

Additionally, market conditions in Canada may present challenges for keeping prices low. While U.S. customers might see a sub-$30,000 Honda EV, Canadian buyers could face higher pricing due to tariffs, exchange rates, and production costs.

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