The CEO of Honda is skeptical that consumers can be motivated to switch to electric vehicles. Honda is investing $700 million to upgrade its plants and $3.5 billion to construct a battery plant for large-scale EV manufacturing. The executive is confident that the future lies in electric vehicles, although he acknowledges that the transition may take some time.
Electric vehicles and hybrid models are experiencing an unexpected surge in popularity.
During an interview with The Drive at the 2024 Monterey Car Week, Kazuhiro Takizawa, President and CEO of American Honda, shared his insights on electric vehicles, interconnected systems, and customer needs.
Takizawa stated, “You can’t force the customer to change their mind, really, and to some degree [you can incentivize] them, but we just can’t force the people living in, say, the Midwest, with no charging stations.” He emphasized that consumers cannot be coerced into changing their preferences. While incentives can encourage change, it is not practical to expect individuals in areas with limited charging infrastructure to adopt EVs rapidly.
Takizawa suggests that consumers are unlikely to quickly switch from traditional internal combustion engine (ICE) vehicles to electric vehicles (EVs), even with incentives. The transition is expected to occur gradually, as stated by the executive.
During the event, Acura showcased a Performance EV concept that offers a glimpse of one of the initial electric vehicles to be introduced by the luxury car manufacturer using the internally developed Honda 0 platform. The finalized model is scheduled to be manufactured at the automaker’s Marysville Auto Plant in Ohio and is expected to be available by 2025.
Honda is in the process of investing $700 million to upgrade three of its factories and $3.5 billion to build a battery plant in the United States for the mass production of electric vehicles. These actions may enable Honda to surpass all other electric vehicle manufacturers in the United States, except for Tesla.
Takizawa made his remarks a few days prior to Ford changing its focus on electrification, discontinuing its three-row electric vehicle, and increasing its commitment to hybrid vehicles.
During the 2024 Monterey Car Week, Lucid CEO Peter Rawlinson mentioned that the current slowdown in the EV market is only temporary and advised against shifting focus to hybrid vehicles. Rawlinson and Derek Jenkins, Lucid’s design and brand president, observed that while there are numerous electric vehicle choices available to consumers, they are not particularly impressive.
Takizawa believes that battery-powered electric vehicles offer the most effective path to achieving a carbon-neutral future. However, he acknowledges that the current infrastructure for charging these vehicles is inadequate. He also recognizes that addressing the societal challenges and complexities surrounding this issue will require significant time and effort.
The Prologue, Honda’s latest electric vehicle, is essentially a Chevrolet Blazer EV with a new exterior design, built on GM’s Ultium platform. Green Car Reports observed during the Prologue’s introduction in February that it strives to be more mainstream rather than niche. Unlike the Toyota bZ4x, which targets a specific segment, the Prologue is designed to appeal to drivers interested in transitioning to electric vehicles, such as those who currently drive the Accord, CR-V, and Passport.