Auto giant, Honda, is extending the current generations of major models, including Odyssey, Accord, HR-V, MDX and Integra, to offset loss in its electric vehicle (EV) programmes.
The move highlights the volatile nature of the automotive industry’s transition to electric power. The strategy comes as the Japanese automaker grapples with a $15.8 billion financial hit following the cancellation of several ambitious electric vehicle programmes.
According to Automotive News, a supplier memo reviewed by Honda and luxury division Acura will delay the arrival of next-generation models for the Odyssey, Accord, HR-V, MDX and Integra.
Instead of the traditional five-to-six-year redesign cycle, these proven platforms will be hanging around for a bit longer than usual, in a bid to squeeze them for more cash as the automaker redirects its focus toward hybrid technology.
For a brand that prides itself on engineering and innovation, stretching life cycles presents a significant market risk. “New product drives new consumers to the brand. “When we extend the product cycle… the product tends to start getting stale, and you start seeing defections,” Automotive New quoted a dealer as saying.
The Honda Odyssey is perhaps the most extreme example. Redesigned in 2017, the current minivan, which was due for a makeover recently, now has its production extended by at least three more years, with a new hybrid successor not likely to appear before spring of 2030.
By then, the platform will be 13 years old, competing against much newer hybrid-electric rivals like the Toyota Sienna and Kia Carnival. The belt-tightening over in one corner is meant to help finance development in another.
The billions previously earmarked for pure-electric projects are now being reoriented into R&D for advanced hybrid powertrains, with Honda aiming to launch 13 new hybrid models starting in 2027.
A key centerpiece of the strategy is a new hybrid V6 powertrain currently in development. Honda says that that engine, expected to debut in the next-generation Odyssey and Pilot around 2030, targets a 30 percent improvement in fuel economy and a 10 percent boost in acceleration over the current 3.5L unit.
