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Sony Honda Mobility Halts Afeela EV Program After Honda’s Strategy Shift

Honda’s March 12 overhaul cut off key Honda technology and resources that the Afeela cars depended on.

Overview

  • Sony Honda Mobility said Wednesday it is ending development and the planned launch of the Afeela 1 and a second model.
  • The venture cited Honda’s March 12 reassessment of its EV plans, which changed access to Honda technologies and assets that SHM had planned to use.
  • The joint venture will not dissolve now and Sony, Honda, and SHM will review SHM’s direction and promise a decision on its future as soon as possible.
  • SHM will refund reservation fees in the U.S., even as a new Torrance, California presentation and delivery site opened March 21 and pre-series builds had already begun at Honda’s East Liberty plant in Ohio.
  • Outlets noted wider EV headwinds in the U.S., with Stern pointing to policy rollbacks and softer demand and others focusing on the JV review and the unusual late-stage cancellation.