According to the Nikkei in Japan (via Reuters), we can add Honda to the list of global automakers that have abandoned plans to move further into the diesel realm. Instead, Honda will continue to puts all of its eggs in the hybrid basket, developing a new system for use in larger vehicles. Currently, Honda's Integrated Motor Assist technology is used in the Civic Hybrid and the Insight.
We can only hope that Honda's next hybrid system will expand on its current IMA tech, which has been unable to match the fuel efficiency and performance of rival Toyota, by being able to operate on the electric motor alone for longer stretches.
In addition to halting development of clean diesel tech, Honda has also put the brakes on the new microcar plant in Japan that was to build future Kei cars for the automaker's home market.