Honda Is So Far Behind In The EU It Had To Partner With Telsa To Avoid Emission Fines

Tesla (TSLA) and Honda have confirmed that they are partnering to pool their sales in Europe in order for the latter to avoid emission fines due to its lack of electric vehicles.

Each automaker has to sell more electric vehicles in order to get their average emissions down and avoid large fines.

Automakers who are lagging behind with electric vehicles are allowed to pool their sales in Europe with automakers who are already beating their emission requirements in order to avoid those fines.

cidflekken - 11/2/2020 12:44:41 PM

+2 Boost

So if I'm reading correctly, a big loophole in that regulation. Is there a portion of Tesla production that's allocated to FCA and a portion that's dedicated to Honda? While costly, it's likely less expensive than full-on development of a wide array of EV products.

SanJoseDriver - 11/2/2020 1:20:39 PM

+2 Boost

I think they are auctioning off fractions of production to the highest bidder, they have enough production to meet the reqs for multiple manufacturers--especially in 2021.

SanJoseDriver - 11/2/2020 1:19:34 PM

+2 Boost

I have to believe that it would be cheaper to half ass an EV than to pay Tesla for pooling. They must really be SUPER behind on EV development.

cidflekken - 11/2/2020 3:24:14 PM

+2 Boost

But a half-ass product then puts the brand at reputational risk.

MDarringer - 11/2/2020 8:20:08 PM

+1 Boost

They could just reskin a Model Y and have their half-assed EV.

vdiv - 11/3/2020 1:56:51 PM

+1 Boost

Funny thing is they did such an EV, the Fit EV in CARB states a few years ago, leased only compliance, all were scrapped, and now the Honda E in Europe and the Clarity BEV in the US, both with a terrible range and cost.

jtz7 - 11/2/2020 9:56:58 PM

+2 Boost

I remember when Honda used to be top 5 best in emissions. Wow that was a long time ago

MDarringer - 11/3/2020 8:47:11 AM

+2 Boost

Honda has been adrift for 20 years. The destruction of the Accord with ugly styling that immediately caused sales to crater shows just how dumb they are. They NEVER were a significant player against the Prius. They are now way behind on EVs.

ctsang - 11/3/2020 11:03:03 AM

+1 Boost

can't wait for a honda badged tesla y