Honda Motor Company (Thailand) is strengthening its approach to compete against the Chinese-led electric vehicle (EV) sector, unveiling intentions to position future hybrid electric vehicles (HEVs) as central to its product range.
By 2029, the Japanese car manufacturer anticipates that almost 90% of the vehicles sold in Thailand will be hybrid-electric models, seeking to address the growing presence of Chinese battery-powered electric vehicles (BEVs) that currently lead the market.
Honda aims to showcase its "e:HEV" system, which integrates an electric motor with a gasoline engine capable of alternating between producing power and driving the vehicle.
Honda's president and CEO, Koji Iwanami, stated that the technology provides substantial benefits, such as automated charging during operation and lower fuel usage, positioning it as an economical option compared to battery electric vehicles.
" Honda anticipates the e:HEV will surpass BEVs. These HEVs will assist Japanese automobile manufacturers in increasing their market presence in Thailand at the expense of Chinese BEVs," Mr. Iwanami stated.
The firm has lately launched four fresh Honda City variants in Thailand: the e:HEV RS, e:HEV SV, e:HEV V, and VTEC Turbo. Honda anticipates selling 40,000 vehicles within a single year, having already achieved sales of 31,000 from January through May 2026.
Honda aims for overall vehicle sales of 76,000 units in Thailand this year, with the local market projected to reach 660,000 units.
Around the world, Honda revealed intentions to reduce the expenses of its upcoming hybrid technologies by over 30% when measured against earlier models, enabling the firm to manufacture cars within local markets at affordable rates, thereby competing effectively against Chinese battery electric vehicles.
Mr. Iwanami stated that Honda's vehicle pricing would appeal more to buyers seeking modern features without opting for BEVs.
The firm additionally called on the Thai government to expand domestic content rules, which are presently enforced for internal combustion engine (ICE) vehicles, to include battery electric vehicles (BEVs), guaranteeing that over 90% of parts come from within the country.
The car manufacturer restated its dedication to Thailand as an important center in Southeast Asia, with its Prachinburi facility—financed through a 17 billion baht investment after the 2011 Ayutthaya floods—acting as a primary production and distribution site.
Shun Kuroda, head of sales and service operations at Honda Automobile (Thailand), highlighted the firm's attention to the B-class small car segment, pointing out its cost-effectiveness, fuel economy, and adaptability.
He mentioned that Honda remains committed to investing in battery electric vehicle technology along with hybrid models.
In the future, Honda predicts that hybrid electric vehicles will account for 52% of Thailand's automobile market by 2029, with battery electric vehicles following at 33%, internal combustion engine cars at 13%, and alternative technologies making up the remaining 2%.