Honda is not optimistic about the global alliance for electric vehicles, believing that it is a stopgap measure for unprofitable products

Recently, Honda Motor CEO Toshihiro Mibe said that if electric products can become profitable soon, Honda is willing to form an alliance, and the next generation of power batteries may become the key to Honda's winning the electrification competition.

When asked about his views on the global alliance for electrification at a press conference, Toshihiro Mibe said, "If joining the alliance can help Honda achieve its profit goals, then we are willing to form an alliance." Toshihiro Mibe, who was previously the head of research and development and became the company's CEO in April, said that electric vehicles are similar to household appliances. After entering the market, their prices will continue to fall. Electric vehicles are not yet commercially viable, so manufacturers have established alliances to expand the market sales of electric vehicles.

Compared with its own motorcycle business, Honda's automobile sales performance is obviously poor. Honda's motorcycle operating profit margin in 2020 have Honda's sales revenue rose 13% to 13%, while the operating profit margin of its automotive business was only 1%. As a result, Honda closed factories in Japan, Türkiye and the UK that were no longer viable in order to improve its profitability in the next fiscal year.

Toshihiro Mibe pointed out that in the era of electric vehicles, global automakers are facing the pressure of sharing technology and sharing costs. Honda has already cooperated with General Motors in the fields of autonomous driving and hydrogen fuel, and plans to launch two jointly developed electric models in North America in 2024. The batteries will use General Motors' Ultium technology.

Honda announced in April that it plans to have all of its sales come from electric and hydrogen vehicles by 2040.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.