Honda has confirmed its commitment to building more electric vehicles (EVs), but has revised its sales targets.

The firm previously aimed for 30% of its sales to be EVs by 2030, but has since stated that this target is unlikely to be met.

In a press briefing, Honda CEO Toshihiro Mibe blamed changes in environmental regulations, as well as changing trade policies for the slowdown in EV sales.

Honda has experienced strong demand for its hybrid models, and has committed to launching a series of next-generation hybrids from 2027 onwards, which are expected to increase fuel economy by more than 10%.

These next-generation hybrids are hoped to bring annual hybrid sales figures to 2.2 million by 2030; making up 61% of total vehicle sales, at which point EVs are expected to outsell internal combustion (ICE) cars.

More efficient production techniques and increased parts sharing will be implemented in these models, reducing production costs by more than 30%.

Honda still believes that EVs are the optimal solution for achieving carbon neutrality by 2050, and will work to enhance the competitiveness of its EV lineup.

It hopes to achieve this by developing next-generation advanced driver assistance systems (ADAS), which is expected to allow for assisted driving in urban environments.

The technology will be launched across a range of hybrid and electric models from 2027 onwards, for the Japanese and North American markets.