I’m in a hyperbolic mood this morning so bear with me. If I had my druthers, the future of American cars would feature a lot more hybrid minivans. My druthers, like consistent performance from Astros middle relievers, is something I’ve learned to not expect. If there’s any consolation, the giant three-row hybrids are coming.
Honda totally biffed it when it came to electric cars in the US, and is holding on only because it also has a bunch of hybrids. Unfortunately, the pursuit of EVs meant that the company underinvested in this tech. Now, to fix that, a new plant is probably coming and it’s going to be building the one car type Americans can’t get enough of these days.
Hybrids and EVs are growing in popularity in Europe, with Chinese brands rapidly expanding. Tesla, though, feels like it’s being left behind. With higher gas prices you’d assume this means brands like Smart and Mini could flourish, but that doesn’t quite seem to be happening.
Do you like guitars? I think I maybe like guitars. I know for a fact John Mayer loves guitars, and he’s now got a new limited run of guitars with Land Rover. Guitars!
Honda Reportedly Betting $2.5 Billion On Ohio Plant To Build XL Hybrids
As far as cursed captions go, the one that accompanies the above from Honda is a tragic tale of hubris and poor timing: “Honda Progress in Establishment of EV Hub in Ohio will Lead to EV Production in North America.” This photo was posted not long before Honda then announced it was going from building a bunch of EVs in North America to building exactly none of them. Shortly after that sad announcement, Honda then posted its first annual loss ever.
The company invested so heavily in electric cars that it missed the boat on the kind of larger hybrids that people want. Unlike Kia, Hyundai, Mazda, Lexus, sometimes Ford, and Toyota, Honda doesn’t have a hybrid larger than the CR-V. As I wrote last year, there’s basically nothing I can do to convince someone looking for a car to not buy a Grand Highlander Hybrid, although the introduction of the Kia Telluride Hybrid at least gives another alternative.
According to Nikkei Asia, Honda is in talks to spend $2.5 billion building a new facility in Ohio with the capacity to make 250,000 vehicles a year. What might those vehicles be?
While the investment decision remains subject to negotiations over state subsidies, and some uncertainty remains, the mooted new plant in North America would mark Honda’s first on the continent in about 20 years.
The new plant would produce large hybrids, including SUVs more than 5 meters long. Toyota Motor and South Korea’s Hyundai Motor are expanding their large-hybrid lineups, and Honda aims to counter with SUVs that combine strong driving performance with high fuel efficiency.
Yup, a big ol’ hybrid! A Honda Pilot XL, if you will.
While my proclivities lean minivan, this isn’t terrible news for the environment. I know there’s a large contingent that’s upset over carmakers canceling their plans for big three-row EVs, but the market just isn’t there given the range and cost, otherwise everyone would be driving the Hyundai Ioniq 9 and Cadillac Vistiq.
Just look at the fuel economy differences between Honda’s current three-row offering and the Toyota Grand Highlander and older Highlander:
Even if Honda could only match what Toyota is doing with the Hybrid Max, that’s a big increase. If you look at the older, non-hybrid Highlander (before there was a Grand Highlander) it only got 20 MPG combined. While a family stepping up from a non-hybrid Highlander to a Grand Highlander is increasing their physical footprint, their fuel consumption drops dramatically.
High Fuel Prices Are Driving More Europeans To EVs And Hybrids
Europe’s car market has been mediocre over the last few years, though August saw a 5.3% increase in sales that were largely either hybrid (36.6%), electric (21.7%), or plug-in hybrid (10%). Diesel and ICE cars made up less than a third of total sales. In the biggest markets, battery-electric cars were up by 40-70% year-over year.
While Europe was always heading in the direction of more EVs, the recent energy disruptions due to the wars in Iran and Ukraine has definitely kick-started adoption. The latest data from the European car industry shows that these sales aren’t all equally distributed.
Tesla, which is seeing an improvement this year after a few quarters of decline, was up 4%, but that’s a lot lower than Chery, the SAIC brands, BYD, and the Geeely Group brands, all of which outsold Tesla in August. I think the lack of hybrids is probably the biggest factor holding brands like Tesla back in Europe, especially as displeasure over his antics seems to be fading.
For all the focus on EVs from Chinese-owned brands, vehicles like the PHEV Jaecoo 7 are out here setting sales records.
Outsourcing To China Isn’t Working For BMW And Mini
I think Mercedes the person and Mercedes-Benz the car company would both be pleased if the new Smart ended up being a big performer, but there’s been a fundamental flaw in the logic behind German carmakers teaming up with Chinese production to introduce small, cheap electric cars to the market.
As Manager Magazin points out, the thought process behind both the Smart EV and Mini EV hasn’t quite held up to reality:
The demand for small, affordable electric cars is actually high, especially in Europe. Because initial attempts to produce them in Germany , France , and Great Britain proved unprofitable given local wages and electricity prices, Smart and Mini turned to China early on. Nicolas Peter (64) , now chairman of the BMW supervisory board, traveled to the Far East in 2019, before Källenius finalized the Smart project with Geely, for the groundbreaking ceremony of a joint venture with Great Wall Motor. Both Källenius and Peter wanted to use China as a cost-effective export hub for their small electric cars to Europe.
But the idea doesn’t work. The EU’s punitive tariffs, introduced at the end of 2024, completely destroyed any calculations. Importing electric cars produced in China to Europe is subject to duties of sometimes more than 30 percent. Smart and Mini see these high fees as the cause of their financial woes. Internally, they say it destroys any business case.
Well, it seemed like a good idea at the time.
Check Out John Mayer’s Sweet Land Rover Guitars
I have a theory that white people can’t resist electric guitar music, which has been proven scientifically by John Mayer. Everyone, of course, loves Land Rovers. Combine the two and you get this limited run from Mayer and Land Rover of special Defender-inspired guitars.
“Teaming up with Defender to offer the Silver Sky guitar in their legendary 4×4 colors is a dream come true. I’ve always chosen colorways based on objects and materials that inspire me in the world, and as a collector and lover of Defenders, this collaboration is the perfect crossover between two great passions of mine.”
If you’ve got, like, $2-3K you can get one yourself.
What I’m Listening To While Writing TMD
It’s the 2015 Rock & Roll Hall of Fame induction ceremony for Stevie Ray Vaughn & Double Trouble featuring no less than Jimmie Vaughan, Doyle Bramhall, Gary Clark Jr., and, hey, it’s John Mayer.
The Big Question
How many large three-row hybrid SUVs do you currently own or plan to own?
Top photo: Toyota
Somehow my family made it to where one kid is in college and the other in high school, and we never had a 3 row vehicle. Is that blasphemy? Did we do it wrong? Our kids turned out OK but here I am thinking they might have turned out even better if we’d only had a 3rd row!
My parents never owned a 3 row vehicle and there were 3 of us kids. We’d all pile in the backseat of the ’83 Camry and as the youngest I always got the middle.
I have an Audi Allroad (in fact, we own 2, sorta his and hers) They weigh about 3800lbs and I get right at 35 mpg on long trips, 25 or better in town/short hops. The car is seriously quick, especially for a 4 cylinder. So, if my non-hybrid car can do that, why bother with a hybrid? It just adds more weight.
I agree on Minivans if you have a family – next door 30 somethings have 3 kids, 2 are in full on car seats and one has a “booster” type seat, they have a Pilot and an Odyssey. I can’t help but think how much easier it would be to load kids in car seats thru a wide sliding door than thru the small rear doors both of these cars have.