Honda Motor Co, Japan’s second-largest automaker, projects a 2.8% increase in operating profit for the current fiscal year, riding on strong sales in the United States. The automotive giant beat fourth-quarter estimates, with a six-fold growth in operating profit, which reached 305.6 billion yen. Despite experiencing a 6% sales slump in China, Honda recorded a 17% sales surge in the U.S., making significant progress in its biggest overseas market. While Honda has faced stiff competition from Chinese local brands offering affordable, high-tech electric vehicles (EVs), the company is planning to amplify its EV efforts by launching six new EV models in China by 2027. Its future strategies also include building an EV production base in Ontario, Canada.
Honda Expects 2.8% Increase in Full-Year Profit
