Honda Says No Gas Motorcycles By 2040

Considering the challenges the electric car market is facing these days, can we expect Honda to perhaps re-think its plans for super-aggressive expansion into the electric motorcycle market? Not at all. According to a business update in May, Honda is still planning on a massive shift to electric bikes, with no gas motorcycles in its lineup by 2040.

Back in November of 2023, Honda told the world it was going to invest big bucks into electric bikes. As we told you after that press conference:

Honda says it’s planning to invest a total of 100 billion yen (about $680 million USD) between 2021 and 2025, and then another 400 billion yen ($2.7 billion USD) between 2026 and 2030 in its electric motorcycle program. And the spending won’t stop there: “In 2031 and beyond, Honda will further enhance its competitiveness by investing in the establishment of a production system and capability on a global basis and further advance software technologies to maximize the sales of electric motorcycles.”

And now, their latest update gives a clue as to the next step forward. According to their May press release, Honda says by 2030 it will build a “vertically-integrated EV value chain with a central focus on batteries.” This is supposed to reduce the cost of batteries by more than 20 percent, when compared to the cost of current batteries. Does that factor in inflation, we wonder? … The PR doesn’t say. But it does say “Honda will establish a competitive business structure with an aim to reduce overall production cost by approximately 35%. Honda already has a positive outlook to secure enough batteries for the planned production of approximately 2 million EVs per year.”

That’s good news, for two reasons. First, the high MSRP is one of the biggest problems with current electric motorcycles. Honda appears committed to reduce that price tag, and that’s an important step forward.

Secondly, it’s important because Honda is intent on giving us no other choice besides electric motorcycles. As per their PR:

Honda has not changed its belief that EVs are the most effective solution in the area of small mobility products such as motorcycles and automobiles, and Honda’s electrification target to make EVs and FCEVs represent 100% of its global vehicle sales by 2040 remains unchanged.

If there’s no new gas bikes from the world’s most significant motorcycle manufacturer by 2040, it is good to see that manufacturer is at least aware that prices need to come down before that happens. The “let them eat cake” approach is not a blueprint to long-term success, in either the world of politics or motorcycles.