Honda’s 2025 Was a Mess, But SUVs and Hybrids Saved It

Not an Easy Year for Honda

Honda’s 2025 has been plagued by a number of issues, particularly microchip shortages and supply issues, keeping production tight. This resulted in spotty sales and thin dealer inventories during the second half of the year. By the fourth quarter, the strain was clear as sales dipped in multiple crucial segments.

Even so, the year-end numbers told a better story. American Honda finished 2025 with 1,430,577 vehicles sold – a 0.5 percent bump over last year and the brand’s best showing since 2021. It wasn’t a dramatic comeback, but it was progress in a tough market. Most of those gains came from the same places Honda has been betting on: SUVs and electrified models.

SUVs and Electrified Models Selling Well

SUVs and trucks carried Honda through 2025. For the first time, the brand moved over 900,000 units in this category, which helped balance out weaker spots in the lineup. The Honda CR-V was the clear leader, topping 400,000 sales for the second year running, and more than half of those buyers picked the hybrid. The Pilot and HR-V together added over 270,000 units, though both were held back by supply issues.

Some models hit new highs. Passport sales shot up to 55,231 units, nearly 70 percent higher than last year, and TrailSport trims made up about 80 percent of that. The Honda Odyssey also had its best year since 2019, moving over 88,000 units – a 10 percent jump from 2024.

Electrified models also set a new benchmark. For the first time, Honda sold more than 400,000 electrified vehicles in 2025, making it three years in a row of record hybrid sales. The CR-V and Civic hybrids led the pack, and the Prologue EV chipped in with almost 40,000 units in its first full year.

The new hybrid Prelude started arriving at dealerships late in the year, albeit with shameless and rampant markups. Sales were just 204 units, but its launch shows Honda is serious about blending electrification with cars aimed at enthusiasts.

Passenger Cars Are Declining

On the flipside, Honda’s passenger car sales slipped 3.9 percent for the year. The fourth quarter was rougher, with overall sales down 9.5 percent and truck sales down 14 percent as inventory tightened again due to chip shortages.

December made those challenges obvious. Sales dropped 12.5 percent, and SUV and truck volume fell by more than 17 percent, underlining how quickly things can turn when supply gets tight. Acura, Honda’s premium brand, had a similar story.

Getting supply back on track will be key for Honda in 2026, especially for popular SUVs and hybrids. The push into hybrids is working, but the next step is turning these small wins into lasting momentum.