Investing.com -- Honda (NYSE: HMC ) Motor announced on Tuesday that it will reduce its investment in electric vehicles due to a decrease in demand.

The company will instead concentrate on the increasing demand for hybrid vehicles by introducing new models.

CEO Toshihiro Mibe said in a press conference that the automaker has decided to decrease its projected investment in electrification and software through the business year of 2030.

The investment has been cut down to 7 trillion yen ($48.4 billion) from a previous estimate of 10 trillion yen.

Honda is planning to introduce 13 new hybrid models on a global scale in the four years starting from 2027.

This strategic shift signifies Honda’s response to market trends and consumer preferences.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.