A joint venture set up by Honda Motor Co Ltd (NYSE:HMC) and Sony Group Corp (NYSE:SONY) called Sony Honda Mobility is reportedly planning to introduce three electric vehicle (EV) models by late 2020s.
Sony Honda Mobility plans to roll out a sports utility vehicle (SUV) in 2027 and “affordable” compact in 2028 or later, following a launch of a sedan in 2025 to compete with Tesla Inc (NASDAQ:TSLA), reported Nikkei.
Sony Honda Mobility previously indicated that the sedan EV will be launched under the Afeela brand, but now two more models will be included in the line.
The three models will share the same chassis to reduce costs and speed up development, and the compact could be comparable in size to the Toyota Motor Corporation (NYSE:TM) Corolla and Volkswagen AG (OTC:VWAGY) Golf.
The companies plan to keep the retail prices low by omitting equipment and functions. The Afeela Sedan, which the company has dubbed a “high-value-added EV,” is expected to be priced at over 10 million yen ($66,413), the report added.
Earlier this month, Honda recalled 750,114 vehicles in the US over airbag concerns, with no reported injuries.
Also, American Honda targets robust growth in 2024, projecting up to 1.3 million sales for the Honda brand and 150,000 for Acura.
Price Action: HMC shares are trading lower by 1.06% at $33.70 on the last check Wednesday.
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