Honda Will Stop Selling Its Lone Electric Vehicle in the U.S.

Dow Jones
07/17

Honda Motor will end production this year of the lone electric vehicle it sells in the U.S., the latest retrenchment for battery-powered cars in the American market.

The 2026 model year will be the last for Honda's Prologue SUV, said Lance Woelfer, the vice president of automobile sales for American Honda Motor Co. The company isn't canceling sales immediately, but will instead finish selling off about 100,000 before the model comes to an end.

Most automakers in the U.S., including Volkswagen, Stellantis and Ford, are pivoting from their once-aggressive efforts to increase EV production.

Last year, the Trump administration ended the federal EV tax credit program and effectively did away with the stringent fuel-economy rules that were driving a more electric market by the 2030s. Sales of EVs dropped 30% year-over-year in June, according to Motor Intelligence data.

Honda earlier this year announced that it would also scrap a forthcoming EV program, which aimed to make three new electric models in Ohio and Canada. The automaker's decision to terminate those plans led to $10 billion in costs and its first annual loss as a listed company in 2025.

Like some rivals, Honda is instead now focusing on hybrid vehicles for the U.S. market.

The Prologue was announced in late 2022, when optimism around EVs was considerably rosier. The SUV was made for Honda by General Motors at the American automaker's plant in Coahuila, Mexico. The SUV went on sale in late 2024.

At the time, Honda was late to the game on all-electric cars; partnering with GM by using its EV hardware was seen as a way to catch up quickly.

The Prologue appealed to buyers who were used to Honda's fuel-efficient and hybrid cars and wanted to move on from gasoline entirely -- and were enticed by its low-cost lease deals. Still, like many EVs, critical mass was hard to achieve. Honda sold around 40,000 Prologues last year, about a 10th of its top-selling gas and hybrid CR-V.

Woelfer, Honda's U.S. sales chief, said he believes that certified preowned Prologues will be a desirable option for people who want an electric car from the brand. He also said he believes EV buyers could turn to Honda's hybrids in the meantime.

"It's allowing us to pivot where we expect the consumer to be, which is expanding that hybrid lineup," Woelfer said. "And it doesn't mean EVs aren't part of the future for us."

Write to Patrick George at patrick.george@wsj.com

 

(END) Dow Jones Newswires

July 16, 2026 15:21 ET (19:21 GMT)

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