The report says Honda plans to launch a small EV costing less than $30,000 in the U.S., as early as next year. This new EV will also reportedly be U.S.-built, likely to avoid new tariffs on imported vehicles expected to be instituted by the Trump Administration.

Honda will build an electric vehicle in the United States and sell it for less than US$30,000 in response to the US government's import tariffs. The news was reported by Japanese financial outlet Nikkei which reported Honda’s plan to manufacture a small electric vehicle in Ohio.

The affordable Honda EV, which could go on sale by 2026, may be produced in the Ohio factory, avoiding potential tariffs

Although Honda is in the process of developing its own electric vehicle (EV)-dedicated architecture to part ways with General Motors, all while injecting massive investments in Canada to create a North-American EV supply chain,