""Market conditions" could mean a lot of things, and none of them are great news for America's EV industry. There are the Trump administration's wide-ranging tariffs, which are hiking up costs and creating migraines for automakers foreign and domestic. And then, of course, there's the looming end to the federal EV tax credit on September 30. Honda did not elaborate on whether the expiring policy played a role in the decision, but the timing is hard to ignore."
"On top of that, the major emissions and fuel economy regulations that were forcing automakers to sell an increasing number of cleaner cars are all either dead or dying. Thus, automakers like Honda have far less pressure to push so-far unprofitable EVs to dealerships. That means they'll be reluctant to slap on the kinds of hefty incentives that have been required to sell EVs lately, as demand growth has moderated."
Acura stopped production of the ZDX electric crossover in the U.S., ending the brand's only battery-powered offering stateside. The company cited aligning its product portfolio with customer needs, market conditions, and long-term strategic goals. The production halt coincides with rising tariffs and the imminent expiration of the federal EV tax credit on September 30, factors that can reduce EV demand. Weakening emissions and fuel-economy regulations lessen regulatory pressure to sell unprofitable EVs, reducing incentives and dealer push. Acura still plans to launch the RSX, a smaller Ohio-built EV, late next year.
Read at InsideEVs
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