Honda Ends US Production of Acura Cars in Partnership with General Motors

Honda Motor Co. Ltd. will end US production of Acura vehicles, citing poor sales and a shift in focus towards electric and hybrid vehicles. The decision comes as Honda continues to transition towards a more sustainable and environmentally-friendly business model.

Honda Motor Co. Ltd. has announced the end of US production for Acura vehicles, citing poor sales and a strategic shift towards electric and hybrid vehicles. The decision reflects Honda's broader commitment to sustainability and a more environmentally-friendly business model. According to a spokesperson, the move is aimed at better aligning the product portfolio with customer needs and market conditions Acura Has Axed Its Electric SUV A Week Before The EV Tax Credit Ends^[1].

The cessation of Acura production comes as the federal EV tax credit is set to expire on September 30, potentially dealing a blow to EV demand. Despite this, Honda remains committed to the EV market, with plans to launch the Acura RSX, a smaller EV built in Ohio, later next year Acura Has Axed Its Electric SUV A Week Before The EV Tax Credit Ends^[1]. This shift underscores Honda's strategic focus on electric and hybrid technologies, which are expected to drive future growth.

In parallel, Honda is also investing in sustainable practices. The company has recently opened the Honda Resource Circularity Center in Ohio, which aims to repurpose end-of-life equipment, office electronics, and vehicle service parts into resources. This initiative is part of Honda's broader goal to reduce its environmental impact by creating a circular economy business model New Honda Resource Circularity Center Repurposes End-of-Life Equipment Into Resources^[2]. By extending the lifecycle of indirect goods and maximizing material value, Honda is not only reducing waste but also lowering its reliance on virgin raw materials.

The decision to cease Acura production in the US is part of a broader trend in the automotive industry, where manufacturers are scaling back on certain models in response to market conditions and regulatory changes. This includes the cancellation of the Nissan Ariya for the 2026 model year and GM's plan to reduce Chevrolet Bolt EV production Acura Has Axed Its Electric SUV A Week Before The EV Tax Credit Ends^[1]. These moves reflect a more cautious approach to EV sales growth, driven by the absence of key policy drivers and the need to align with customer demand.

Looking ahead, Honda's strategy is to focus on electric and hybrid models, which are expected to drive future growth and sustainability. The company's commitment to a circular economy model also positions it to leverage resource efficiency and reduce environmental impact. As the EV market continues to evolve, Honda's strategic shifts will be critical in navigating the changing landscape and maintaining competitive advantage.