The Honda Motor Company announced Tuesday it will cut back on its previous investment plan for electric vehicle technology in response to its disappointment in the growth of the EV market.

TOKYO -- Honda Motor will scale back its electrification strategy, lowering planned investment through the fiscal year ending March 2031 by 30% to 7 trillion yen ($48.5 billion), the automaker announced Tuesday.

Honda said despite the shift in strategy, it still aims for all of its global new-vehicle sales to come from battery-electric of hydrogen fuel-cell models by 2040.