The Japanese automaker Mazda Motor Corporation MZDAY has decided to slow down its electric vehicle (EV) plans, with its next major EV now expected to arrive around 2029. This move reflects a broader rethink as market conditions and customer demand continue to evolve.
Mazda’s first major EV, based on its 2021 Skyactiv EV platform, has been delayed by around two years, pushing back its anticipated launch timeline.
One key reason behind the delay is weaker EV demand in some important markets. Higher vehicle prices, shifting government incentives, and ongoing concerns about charging infrastructure have made many buyers more cautious about fully electric options. Mazda appears to be avoiding a rushed launch and is waiting for conditions to improve.
Mazda’s initial push into EVs in the United States was short-lived. The MX-30, the company’s first electric model for the U.S. market, was only available for two model years. Despite its stylish design, the vehicle struggled due to its small 30-kWh battery pack, which provided only about 100 miles of driving range, per CarandDriver.
The U.S. policy changes have also played an important role. New tariffs on imported vehicles and the loss of eligibility for the $7,500 federal EV tax credit have raised costs for many EVs and forced automakers, including Mazda, to reconsider the pace of their EV rollouts.
Despite the delay, Mazda is not stepping away from electrification entirely. Instead, the company is placing greater emphasis on hybrid vehicles, which pair gasoline engines with electric motors and continue to appeal to consumers who want better fuel efficiency without complete dependence on charging infrastructure.
Mazda is developing an in-house hybrid system, with one of its high-volume models expected to adopt the technology around the 2027 model year. The company also offers several hybrid and plug-in hybrid models, including the CX-50 Hybrid, CX-70 PHEV and CX-90 PHEV.
This expansion supports Mazda’s long-standing “multi-solution” strategy, which avoids relying on a single type of powertrain technology while reducing emissions and aligning with current customer preferences.
The company recently unveiled two brand-new models, the 6e sedan and CX-6e crossover, which are developed in collaboration with China’s Changan and sold in Europe, Australia and other parts of the world. However, because they’re made in China, they would face a 100% import tariff in the United States, making them costly for American customers.
Overall, Mazda’s decision highlights a cautious and flexible approach rather than a retreat from electrification. By delaying its next major EV, the company is giving priority to hybrids while waiting for demand, policy, and infrastructure conditions to improve. This strategy allows Mazda to remain aligned with customer preferences while keeping its long-term EV ambitions intact.
Mazda Motor Corporation Price and Consensus
Mazda Motor Corporation price-consensus-chart | Mazda Motor Corporation Quote
Zacks Rank & Other Key Picks
Mazda currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the auto space are Mercedes-Benz Group AG MBGYY and Nissan Motor Co. NSANY, each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for MBGYY’s 2025 sales indicates year-over-year growth of 0.6%. The Zacks Consensus Estimate for MBGYY’s 2025 and 2026 EPS has improved 1 cent and 2 cents, respectively, in the past 30 days.
The Zacks Consensus Estimate for NSANY’s fiscal 2026 loss per share has widened 62 cents and the same for fiscal 2027 EPS has improved 3 cents in the past 60 days.
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