- Honda is reportedly preparing to build a bargain-priced EV in the US as soon as 2026.
- The sub-$30k electric car will allegedly be built in Ohio and part of a new range of vehicles.
- Achieving price parity with ICE cars will be crucial for demand if Trump axes EV tax credits.
Honda’s Prologue EV has been a massive success for the brand and it sounds like the Japanese automaker is keen to capitalize on that success. Honda is working on a brand new baby EV that could cost less than $30,000 and be on sale in America as early as 2026.
That’s according to Japan’s financial news website Nikkei, which claims the new electric model will be built in Ohio and is one of seven cars from a new O-series lineup due to launch by 2030.
Related: Honda’s 0 Saloon EV Looks Like A Lambo Gallardo Sedan From The Future
Building the new EV in the US will ensure it is exempt from steep tariffs President Trump wants to place on imports, and pushing the MSRP below $30k will mean the EV will be as affordable as some ICE models. That’ll be essential for success if Trump comes good on his promise to scrap tax credits for electric vehicles.
Achieving that low price point will reportedly come down to limiting the size of the battery, which is the most expensive part of an electric car and makes up around 30 percent of the production cost. But to ensure the EV range is still reasonable – the Honda e sold outside of the US (and pictured in our lead image at the top of this story) could only manage 140 miles (225 km) on a charge – engineers will focus on cutting overall weight.
Nikkei says the small EV will come after two more EVs, an SUV and a sedan it expects to cost between $50-60k. The first of those O-series models will enter production late this year. Honda showcased a pair of futuristic concepts at this January’s CES tech event and promised that their production versions would be in showrooms by 2026. You can check them out in the gallery below.
Given the success of the Prologue, which is built around GM Ultium hardware and twinned with the Chevy Equinox EV, it’s possible that Honda could base its baby EV on the next Chevrolet Bolt. The previous Bolt went out of production at the end of 2023 but Chevy will launch an all-new model this year that should cost less than $30,000.
Other automakers allegedly planning EVs at that price point include Tesla and Ford, who are both concerned about the threat posed by Chinese brands, the only companies so far able to sell electric cars for the same price as combustion models.
Source: Nikkei