Honda and Sony Discontinue Two Afeela Electric Cars
Honda and Sony have officially ceased development on their Afeela electric vehicles (EVs), a move that marks a significant shift in their strategic plans. The Afeela 1 sedan and an anticipated electric SUV will no longer reach production.
Afeela Joint Venture Overview
In 2020, Sony made waves at CES when it introduced its first electric sedan. By 2021, the company had expanded its vision to include an electric SUV. A collaboration was forged with Honda in 2022, leading to the establishment of Sony Honda Mobility (SHM) aimed at bringing these vehicles to market.
Development Cancellations
However, the partnership has taken a downturn. Recent decisions by Honda have halted the Afeela 1 sedan and its SUV counterpart. The decision follows Honda’s larger strategy reassessment, announced on March 12, 2026, which included the cancellation of two additional EV models and plans to revive the Acura RSX.
Impacts on the EV Market
According to a joint statement, the strategic changes affect Afeela’s models due to a significant shift in Honda’s electric vehicle operations. A crucial evaluation of SHM’s business direction will also take place. Despite these setbacks, Honda and Sony remain committed to their partnership and plan to reveal future strategies for mobility soon.
Financial Implications
- Honda estimates losses of up to $15.8 billion due to recent cancellations.
- These include the axing of the Afeela EVs along with other planned models.
The pre-production phase for the Afeela 1 had commenced at Honda’s East Liberty Auto Plant in Ohio. However, discontinuing the model at this advanced stage is alarming for the joint venture, which formed less than four years ago.
Conclusion
This decision to halt the Afeela EVs emphasizes the volatile nature of the automotive market and Honda’s need to realign its electric vehicle strategy. As the industry evolves, the future of partnerships and projects will depend on adaptability to market demands and technologies.
