Honda said on Tuesday it would postpone by at least two years its large-scale investments to establish an electric vehicle supply chain in Canada. Originally announced in April of last year , the project is valued at $15 billion,

Slowing demand for EVs and US tariffs impact on Canada’s auto sector force the Japanese automaker to postpone plans for an EV supply chain in Ontario, dealing a severe blow to Canadian EV ambitions.

Honda's fully-electric offering is the Prologue, an SUV with an MSRP of $47,500 ... builds gas-powered and electric cars on the same production lines.

Postponing the Canadian EV project is part of the automaker's effort to contain the damage from hefty U.S. tariffs on foreign-made vehicles. Honda said it expects its net profit to drop 70% to 250 billion yen ($1.68 billion) for the year ending March 2026.