The pint-sized and affordable Jazz will remain out of reach of Honda Australia customers, as market factors mean the brand is favouring SUVs going forward.
Honda Australia does not see potential in returning to the city hatchback segment with a resurrected Jazz, despite the market shifting to more premium pricing and hybrid powertrains that match the brand’s philosophy.
Speaking with Drive, Honda Australia President and CEO Jay Jospeh said an affordable, entry-level model in the hatchback space simple does not add up for the brand.
“We’re looking at every product category all the time, we’re always looking for any opportunity to serve our customers,” Joseph said.
“At the moment, there’s no plan for Jazz or a vehicle like Jazz.”
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When the Jazz was discontinued in Australia in 2020, it was priced from $18,690 before on-road costs and competed against the Mazda 2 and Toyota Yaris in terms of size and price.
However, with the Jazz moving to a next-generation, more sophisticated, and hybrid version, it was understood at the time that the business case did not stack up at the time to bring the new car in.
Since then, however, the city-car market has shrunk with the discontinuation of the Kia Rio, Ford Fiesta, Mitsubishi Mirage, and Hyundai i20, with remaining players marching significantly upmarket.
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The Mazda 2 and Toyota Yaris now start at $26,990 and $28,990, respectively, while the Volkswagen Polo is now a $30,000-plus vehicle.
And while the new Honda Jazz could be priced competitively against current rivals, the light-car market is shrinking rapidly as customers move towards SUVs.
So far this year, the market has contracted 20.2 per cent compared to the same seven-month period in 2024.
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Last year’s mainstream ‘light car’ sales tally of 26,317 units is less than half the volume of the market just five years prior in 2019, when there was a total of 60,810 units sold.
Until buyer preference changes, according to Joseph, the Jazz will remain out of reach for Australian buyers.
“If there’s an opportunity, and we see that there’s a customer base, and it pencils that it’s good business for us, we would consider it,” Joseph said.
The post Honda Australia pours cold water on Jazz revival chances despite market changes appeared first on Drive.