JAKARTA - Pressure on Honda CEO Toshihiro Mibe is intensifying after the Japanese automaker canceled three electric vehicle projects. Where, which was previously planned for the North American market.
The decision is said to trigger spending and losses worth around $15.7 billion, as well as criticism of the company's electrification strategy.
The latest report revealed that since the end of 2025, a number of former Honda executives who have retired have begun holding meetings to discuss various problems faced by the company.
In the discussion, Mibe was the main target of criticism, especially regarding the lack of attention to the Chinese market and a number of expensive decisions related to the development of electric vehicles (EV).
According to a Reuters report citing two participants in the meeting, former Honda executives also judged that Mibe paid more attention to Honda's golf sponsorship activities than the company's core business operations.
In April, Honda's 90-year-old former CEO, Nobuhiko Kawamoto, was even said to have come directly to Honda's headquarters to ask Mibe to resign. However, the request was rejected. Mibe has led Honda since 2021.
As a form of responsibility for the company's first loss in 70 years, he received a 30 percent pay cut for three months. However, a group of former executives who criticized him judged Mibe did not carry out the "genba" principle.
This principle has long been the culture of Honda's leadership, namely to directly go to the location where the main business activities take place, such as factories and showrooms. "CEOs don't see conditions on the ground or listen to customers, and don't go to genba," they said, quoted by Carscoops, Friday, June 12.
"Senior management, including the CEO, does not visit genba. Example: China," he continued.
Despite pressure from a number of former company executives, Mibe's position still received support from the board of directors' nomination committee. The committee was formed by involving more independent directors as part of efforts to strengthen corporate governance in Japan while reducing the influence of retired executives.
Amid the controversy, Honda began to change its strategic direction after canceling several electric vehicle projects. In May, the company revealed plans to develop a new generation vehicle platform that is not only designed for electric cars, but can also be used for hybrid technology models.
Honda assesses that the dynamics of the electric vehicle market in the United States still have the potential to change significantly, especially after the end of Donald Trump's second term in January 2029. In addition, the results of the midterm elections to be held in November are also believed to affect the direction of automotive market development in the country.
Through its latest strategy, Honda targets the launch of 15 new hybrid models by 2029. Two of them have been introduced in the form of prototypes, namely the Honda Hybrid Sedan Prototype and the Acura Hybrid SUV Prototype which carry a sleek SUV design.
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