Carmaker Honda intends to power around two-thirds of the
vehicles it produces by 2030 with electricity, an executive
with the Japanese company has said.
The goal is part of the company’s
electrification strategy, with around half of production to
comprise hybrid electric vehicles (EVs), managing officer
Noriya Kaihara said.
Zero-emissions vehicles, either battery electric vehicles or
powered by fuel cells, will account for around 15% of output,
with the remaining 35% having internal combustion engines.
"We’re aware our target is quite high," Kaihara
said at the 25th Mining Indaba in Cape Town, South Africa. But
he added that the company sees the target as achievable and
will require increased quantities of battery materials, such as
lithium, cobalt and nickel.
Honda has recognized the potential for carbon emissions
reductions through the transition to EVs, he said, with the
transportation sector currently the second-largest emitter of
carbon, responsible for almost one-quarter of the global
"In order to give our customers confidence, we need to
improve the performance of the electric vehicle," he said.
Ensuring that raw materials are sourced responsibly is
essential, he said, adding that Honda believes this can be
achieved via cooperation and collaboration between governments
There have been concerns about the responsible sourcing of
cobalt, with some mines allegedly using child labor or being in
"We expect the resources industry to establish stability in
its business environment, as well as transparency and
cooperation," Kaihara said.
Fastmarkets’ price assessment for
standard-grade cobalt was $17.30-19.45 per lb on Wednesday
February 13, down from $26.50-28.00 per lb at the end of
December and a two-year low. The price was $22.40-22.90 per lb
in February 2017.
Persistent selling pressure is dominating the spot market,
with buyers minimizing their buying activity due to
expectations that the metal price will continue to decline.