General Discussions, page-25448

Growth Of Chinese EV Players A Looming Threat For Honda Stock?

Interesting article on Honda's market share. The key passage:

'In fact, over Q1 FY’24, Honda indicated in its commentary that sales in China shrank 5% year-over-year due to “intensified competition in the growing new energy vehicle market.” Moreover, Chinese-made vehicles are increasingly accepted globally, with China poised to become the world’s largest car exporter this year, overtaking Japan. This could pose a threat to EV laggards such as Honda.'

Honda will need to make near-term decisions in order to turn it around and appease their shareholders and stock analysts. Otherwise, the long term implications and risk of losing further market share is already on the downward trajectory.

Let's hope HANWA which is Honda's procurement arm comes through with a binding offtake soon.

All IMO, DYOR, GLTA(patient)