It is not often that motoring writers get to interview the CEO of a top car company, that privilege usually goes to business journalists or television stations. But Honda is more open to this, and that they realise the importance of smaller markets that has promise.
In Malaysia’s case, the Honda Motor Corporation is well aware of Malaysia’s potential as it has managed to dethrone Toyota as the top non-Malaysian car company a few years back and held on to that position.
As disclosed by Hachigo-san, Malaysia is also the ninth best performing market globally based on the first nine months of this year. In fact, the ASEAN region made quite a showing with Thailand and Indonesia both ranking higher than us. Granted, their market is larger than Malaysia’s.
In elaborating about the Honda 2030 Vision, where two-thirds or roughly 65 per cent of global sales consist of electrified vehicles, Hachigo-san explained that they expect 50 per cent of that number are for hybrid/PHEVs while the other 15 per cent consists of zero emission vehicles (BEVs/FCVs). “But electrification is not a purpose by itself, the objective is to conserve the earth’s environment and reduce CO2 emission,” he said.
There will be three main challenges to this mission: technology on how to develop the better electrified vehicle; second is from a business standpoint (especially on how to reduce cost), and finally the infrastructure needed to encourage use of such vehicles. Let’s not forget that while the first two points are factors Honda has control over, the third requires close collaboration with the respective governments and regions.
Replying to a question about the role of this particular region in the 2030 Vision strategy, the CEO says, “In regards to Asia/Oceania and how to deploy it to these market, unless there is government subsidy it will be difficult. And as the tech is established therefore we intend to keep it in trend of this region…”
“But in principal in Asia/Oceania we want to focus/promote the hybrids.” Hence why I think the Clarity PHEV has a slim chance of being locally assembled and take advantage of NAP tax breaks; that and other factors such as a supply chain.
As far as collaborating with other manufacturers, Honda does not have that under plans unless it can be a win-win relationship within the scope of technology and products. Hachigo gives example of the company which they co-invested with General Motors to develop the fuel cell stack in FCVs.
With all that talk about green vehicles, where does diesel stand? The plan is to gradually shift into electrics, but this will not be anywhere near immediate. There are markets such as India in which diesel vehicles still play an important role so the demand is there.
The big question is if we devote resources in developing sports car… will they sell?
One particular journalist asked whether the company plans to increase the sports car portfolio looking at how models such as the Type R, NSX, and Sports EV are coming out. The answer started off with, “We are focusing on helping people and the joy of driving. And joy of driving naturally means sports cars.”
“Now we have this new gen NSX as well Civic Type R, but also have the S660 which have made a comeback. So our no.1 priority is to continue these sports models which have just been launched. Whether we are going to increase our sports car portfolio and what we are going to do about sports cars, I personally love sports cars and I hope we can challenge sports cars in different ways somehow.”
Interesting stuff coming from a man who was once in R&D, and who are well aware of current engineers in that division who are sports car fans. “In terms of manpower, etc., we are capable of going ahead with development immediately but… the big question is if we devote resources in developing sports car… will they sell? This makes the decision difficult. If the voices in the different regions are loud enough in supporting sports cars, then definitely we would love to do so. We hope that you can support us so that we can make that decision.”
So that’s our cue isn’t it? Time to make some noise!
