Honda is considering scrapping its diesel-electric hybrid fleet as it prepares to announce plans to start selling electric cars next year.

The Japanese automaker, which sold 2.8 million diesel-fueled cars last year, said in a regulatory filing that it is considering buying up to 200 electric cars in the United States to fill a gap in the global market.

The U.S. market is the second-largest in the world, with about 4.3 million electric vehicles, according to data compiled by Bloomberg New Energy Finance.

“The diesel engine is a relatively slow-growing segment in the U.K. and Europe and will be more of a burden to the global auto market than the gasoline engine,” said John Lea, an analyst at Edmunds.

“We expect that to increase as the U,S., and Europe become more electrified.”

The decision comes after Honda sold nearly 1.3 billion diesel-powered cars in 2017.

It plans to sell more than 400,000 electric vehicles in 2020, up from around 500,000 last year.

The company said it will be selling electric vehicles at an average price of $3,000 in 2020.

Honda said it has already sold roughly a million electric cars since its initial rollout in 2021, and the company said in January it expects to sell at least half that number in 2020 as electric vehicle sales continue to surge.

Hudson Pacific, a division of Nissan Motor Co., said last month it will sell up to 1.5 million electric motorcycles by 2020.

Honda and Nissan also are working on electric cars.

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