Honda CEO Toshihiro Mibe’s visit in February to a high-tech electric vehicle factory in China left him alarmed, according to SlashGear.

Like several global automakers, Honda was forced to quickly adjust its strategy in mid-2025 after a sudden policy change in the United States removed a long-standing EV tax credit.

The sudden policy change dealt a heavy blow to the industry.

Ford and General Motors both posted losses running into the billions, while Honda’s losses were even steeper, reportedly topping $15.7 billion.

Last year, Mibe admitted that changes in US policy may have slowed the transition away from internal combustion engines, although he stressed Honda’s responsibility to help reduce global emissions by moving toward cleaner technologies.

Following the company’s first annual loss, revealed in early March shortly after his China visit, Mibe expressed concern over the efficiency of the EV facility he toured.

“We have no chance against this,” he was quoted as saying in a Nikkei Asia report, describing the plant’s highly automated operations where production, logistics, and supply chains were fully digitised with minimal human presence on the factory floor.

Online reactions to the wider EV debate were divided.

While many users said there is a clear demand from consumers, but not enough supply to meet it, others pointed to people switching vehicles and changing brand loyalties.

Many users stepped back to look at the broader picture, saying they were worried the US could fall behind in the global move toward cleaner energy if policies keep shifting.

They added that this lack of consistency could end up hurting the economy over the long run.