Analysis

Honda Prologue: Big Discounts & Strong Sales, Despite Q4 EV Slump!

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Honda Prologue: Big Discounts & Strong Sales, Despite Q4 EV Slump!

TL;DR: The Honda Prologue, built on GM's Ultium platform, defied expectations by becoming one of the most popular EVs in the US in 2025, selling nearly 40,000 units. This success came despite a huge 88% sales crash in December and was driven by aggressive discounts, proving that a good deal can still move metal even in a tough market.

Meta: Honda Prologue achieved strong 2025 sales, fueled by discounts, overcoming a significant Q4 dip after tax credit changes.

Alright, folks, let's talk about the Honda Prologue! This EV came onto the scene last year, and let me tell you, it was like a surprise hit single that nobody saw coming. Launched in March 2024, this electric SUV surprisingly became one of the best-selling electric vehicles in the US. By the second half of 2024, it was trailing only the Tesla Model Y and Model 3! That's like being the opening act for a superstar and then stealing the show!.

Now, even as new competitors rolled in, Honda managed to sell a whopping 39,194 Prologues in 2025, a solid 19% increase from the previous year. Most of those sales, however, happened before the federal EV tax credit packed its bags and left at the end of September. That meant Q4 was a bit of a reality check, with only 2,641 units sold, and a dizzying 88% drop in December compared to the previous year. Ouch! But here's the kicker: Honda was already offering some seriously deep discounts to push inventory, even before the tax credit said goodbye. We're talking over $20,000 in combined savings in some states! Sometimes, a good deal is all it takes to get people moving, even when the government incentives dry up.

To be fair, almost every automaker saw a dip in EV sales in late 2025 after the US policy changes. Hyundai’s IONIQ 5, for example, saw sales rise 6% for the year but dropped 50% in December. Kia’s EV6 and EV9 also saw double-digit declines, and Toyota’s bZ (formerly bZ4X) SUVs also faced challenges. It seems like everyone was feeling the pinch when that tax credit vanished faster than a magician's rabbit.

The Prologue, for those who don't know, is built on GM's Ultium Platform, the same one powering Chevy, GMC, and Cadillac EVs. But Honda's not resting on its laurels. They're launching a new dedicated in-house platform this year, with the new Acura RSX set to be the first model on it, followed by Honda’s own 0 Series electric SUV and sedan. It’s like they’re saying, "We learned from the best, now watch us do it our way!" This commitment to in-house EV development shows Honda is serious about its electric future.

What’s Next

As more automakers release their full-year sales data, it will become clearer how the expiration of the federal tax credit impacted the overall EV market. Honda's aggressive discounting strategy for the Prologue demonstrates that pricing and incentives remain crucial drivers for EV sales, even for popular models. With new models and platforms on the horizon, Honda is positioning itself for continued growth in the evolving EV landscape. So, if you're in the market for an EV, keep an eye out for those deals – because sometimes, you just gotta hustle to get the best ride. And that, my friends, is the truth. Peace out!

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Eddie W

Eddie W

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