Honda Replaces Workers With Robots And AI To Slash Costs At Chinese EV Plant

- Honda’s new EV factory in China recently began production of the all-electric Ye P7 crossover.
- AI optimizes processes like welding to lower fixed costs and improve production efficiency.
- Automated guided vehicles transport heavy components like battery packs, replacing manual labor.
Honda is betting on automation and artificial intelligence to transform its EV production process in China, reducing its need for floor staff by a hefty 30%. While robots haven’t yet fully replaced human workers, the tech Honda is rolling out—along with similar efforts from companies like Mercedes-Benz, BMW, and Dongfeng—suggests a future that might not be so bright for blue-collar workers.
The Japanese automaker recently kicked off production of the all-electric Ye P7 with local joint venture partner Guangzhou Automobile Group. The factory in Guangzhou uses automated guided vehicles, or AGVs, to move important car components throughout the factory, including heavy battery packs. Traditionally, human workers are required to transport parts throughout the factory.
Read: Honda Wants To Crack China’s EV Market With New Ye P7 Dual-Motor Crossover
In an interview with Nikkei Asia, Honda revealed that it’s also using AI to fine-tune the welding process for the Ye P7. The goal? To “reduce fixed costs as much as possible.” The company sees “electrification as an opportunity to overhaul the way we produce vehicles”—a chance to reimagine everything from the ground up.

The Ye P7 is an important vehicle for Honda. In most Western markets, the Japanese car manufacturer has lagged behind many of its competitors in releasing battery-electric vehicles that appeal to the masses. Given that China has quickly become the world’s single largest EV market, the automaker cannot afford to fall behind the competition, or else it could see its Chinese sales dry up.
Much like the S7 introduced earlier this month and built with Dongfeng, the P7 has an 89.8 kWh battery pack, and base models feature a rear motor with 268 hp. A dual-motor version is also available, boasting a combined 469 hp. Rear-wheel drive models have a quoted range of 404 miles (650 km) while the all-wheel drive version can apparently travel up to 385 miles (620 km) between charges.
