DETROIT -- American Honda, poised to redesign nearly all of its nameplates through the 2019 model year, is likely to gain U.S. market share in the next four years, according to the annual “Car Wars” report from Bank of America Merrill Lynch.
Honda is expected to redesign an average of 24 percent of its nameplates each year from the 2016 through 2019 model years, the report says, meaning that 96 percent of the company’s portfolio will have been redesigned by the end of the period.
By contrast, the industry overall is expected to redesign an average of 20 percent of its nameplates each year through the 2019 model year. The result, the report concludes, is that Honda’s market share and profitability should rise through the 2019 model year.
“Honda really is the big winner as we look at this year’s study,” Bank of America’s U.S. auto analyst, John Murphy, told journalists on Wednesday at an Automotive Press Association lunch. “When you look at their product portfolio, basically everything will be relaunched in the next four years.”
After a brief lull in product redesigns during the 2014 and 2015 model years, the report says, Honda is expected to pick up its cadence. The automaker’s market share was 9.3 percent at the end of 2014, but slipped to 8.8 percent through May this year. The report says Honda’s market share will increase as it picks up the pace of vehicle redesigns.