Honda Motor has announced plans to launch an electric vehicle model in North America in 2025, a year earlier than initially scheduled as it accelerates its shift to EVs.

Honda Motor's President and CEO Mibe Toshihiro says, "Our revenue from internal combustion engines, including hybrids, is being actively reinvested in fields such as electric vehicles and software so that we can speed up the change to these new technologies."

Mibe also says a strategic cooperative agreement has been reached with Taiwan Semiconductor Manufacturing Company, or TSMC, as Honda expects it will need more chips for its EV models.

Honda says it is focusing on its goal of all new models being electric or fuel cell powered by 2040. It also aims to produce more than two million EVs per year globally by 2030.

Honda last week unveiled the goal of making all new models for China electric by 2035, which is five years sooner than an earlier plan.