Climate change: Honda to invest $40bn in electric vehicles

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The Japanese automaker, Honda, said, on Tuesday, that it would invest nearly $40 billion into electric vehicle technology over the next decade as it worked towards switching all sales away from traditional fuel cars.

Global auto giants had been increasingly prioritising electric and hybrid vehicles, with demand growing for less polluting models as concerns about climate change grew.

The company said that it would allocate around five trillion yen over the next 10 years “in the area of electrification and software technologies to further accelerate its electrification.” Honda and Japanese tech conglomerate, Sony, announced last month they would start a new company to develop and sell electric vehicles, with sales of their first electric model expected to begin in 2025.

But demand was growing, and other major automakers including Honda’s Japanese rivals were investing money and resources into electric vehicles.

 

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