Honda says 80 years of heritage and top products like 2026 Honda CR-V hybrid SUV keep brand competitive against Chinese brands like BYD, GWM and Chery

China’s rise in Australia does not threaten the existence of Honda, the company says, as the historic brand highlights its solid model range, aftersales and heritage as points of difference to newer rivals.

The comments come just weeks after BYD announced it was about to flood the Australian market with 30,000 new cars in the coming months, as it and other Chinese brands - namely GWM, Chery and MG - push further into Australia’s top 10 sales charts.

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In a statement announcing the cancellation of the ‘0’ Series EVs in March, Honda said Chinese buyers’ shift of focus from hardware to software-based features and shorter model development cycles has “intensified the competition”.

“In such a difficult competitive environment, Honda was unable to deliver products that offer value for money better than that of newer EV manufacturers, resulting in a decline in competitiveness.”

When asked by CarsGuide if Japanese carmakers can still compete with China given the speed with which Chinese brands change tech and update models, Honda Australia Director - Automobiles Robert Thorp acknowledged China has “ a number of competitive advantages that they're rightly exploiting”.

He said they’re doing a good job of bringing products to market and connecting with customers quickly, but added that Honda continues to be competitive in many areas.

“Just because they have that, it doesn't actually mean we can't compete with that. We have other advantages within our global business, and even advantages here locally that we think that we need to exploit too. So we have a brand and a heritage that, in Australia, has been close to 60 years, globally, closer to 80, that is built on us demonstrating to customers that when you buy a Honda, we'll look after you.

“Whether that's a vehicle, whether it's a motorcycle, whether that's a power product or a marine engine. And you can't build that trust overnight. It takes years and years,” he said at the 2026 CR-V launch.

Thorp highlighted Honda’s strong points, some of which have been serious weak points for Chinese brands like BYD, GWM and MG.

“You can't build the sort of supply chains that we have and the ability to look after customers long after they've built the vehicle. So that, you know, there's an absolute peace of mind. The relationship we have with our Honda centers and our network is built over a number of years, and the heritage and connection and emotional connection… we have with our customers, that's built over a number of years.”

Aftersales and customer care has been an issue for many newer Chinese brands in Australia as sales growth outpaced companies’ ability to build parts distribution centres and supply chains. This left a lot of customers without parts and allowed frustration to build. Each of those brands is in the process of addressing the shortfall.

Thorp explained how Honda’s reputation for quality and refinement will also ensure the brand remains competitive.

“There's a quality in the drive and the quality of the vehicles that you can tangibly see and touch and feel, and you can see on the spec sheet, but there's those other elements that are harder to explain. It's that sort of feeling you get when you actually sit in a car and drive a Honda that I think allows us to hopefully demonstrate that, yeah, we actually have a number of winning features that allows us to compete.”

“So whilst, yeah, it's tough, it's challenging, but we're very comfortable that with the total package that we can provide to our customers, we've got a compelling proposition that can succeed in this market.”

If there was still any doubt about Honda’s long-term prospects, Thorp said Honda’s global HQ is “100 per cent” committed to the Australian market.

Despite Honda’s current line-up receiving almost exclusively positive coverage from experts, and being loved by owners, Thorp admitted Honda still has work to do to get more people into its models.

Asked what the reason more people aren’t buying Honda’s despite the impressive product and aftersales offering, Thorp said: “Look, there's a thousand things, and you can't really narrow it down to one or two, but it's a combination of factors.

“Certainly our marketing, I think our marketing and our brand positioning, we maybe weren't skilled at that as what we should have been. And I think what we've been doing the last sort of 12-to-18 months, we've, we've basically brought in a brand new team. We've got internal experts. We've actually recast our agency partners. We're recutting our website, and I think that you're starting to see some of the fruits of that come through.”

A new advertising and marketing campaign has just rolled out and Honda Australia has launched a much-improved new website. You can even buy a Honda online now.