Automakers step back from EVs in favor of hybrids, gas-powered vehicles

Honda is restructuring its automobile business, discontinuing the launch of three electric vehicle models in North America, and focusing on hybrid models as EV demand has not met forecasts.

It is the latest automaker to scale back EV targets in favor of hybrids and traditional, albeit more efficient, internal combustion engine (ICE) vehicles. General Motors, Ford Motor Co. and Toyota have also retreated from electrification targets as North American consumers have not adopted EVs as quickly as hoped and the Trump administration removed tax incentives for EV purchases. Honda also cited tariffs as a contributing factor.