Honda Invests $3.4 Billion In Electric Motorcycles

Honda Motor Company announces a ¥500 billion ($3.4 billion) investment in its electric motorcycle initiative by 2030. The revised annual sales target for 2030 stands at 4 million units, up from the previous goal of 3.5 million. Honda aims to introduce 30 new electric motorcycle models worldwide by 2030. They also have plans to operate dedicated electric motorcycle plants globally from around 2027. These will be incorporating technology to reduce assembly line lengths by about 40 per cent.

During an online press briefing, Daiki Mihara, head of Honda's motorcycle electrification development division, stated, "We aim to sell electric motorbikes at the same price as ICE models." The company identifies India and the ASEAN region as areas for market expansion, expressing the likelihood of new production facilities in these regions.

Honda is actively developing lithium ferro-phosphate batteries for integration into electric motorcycles by 2025. The company is planning a diverse battery portfolio to accommodate various applications and expand product variations. Future plans involve researching advanced high-energy-density batteries, including the possible use of developing all-solid-state batteries, with the aim of cutting the cost of finished electric motorcycles by 50%.

Financial targets include an operating profit margin of over 10 per cent for the overall motorcycle business in 2030, with a specific target of over 5 per cent for electric motorcycles.

In a separate announcement, Honda reported a 23 percent YoY increase in global automobile output (404,276 units) and sales (372,000 units) for October.