Japanese automaker Honda Motor Co. will move its production of the five-door Civic hybrid model to Indiana from its current origin in Japan.
Japanese production of that particular model will end in June or July, a spokesman said on April 16.
In an email to The Epoch Times, Chris Abbruzzese, a spokesman for Honda’s American operations, said the automaker is currently “dual-sourcing” its Civic Hatchback hybrid from both Japan and its Indiana automotive plant. He confirmed that later in 2025, it will be produced only in Indiana.
The move followed up on a March report, published by Reuters, that said Honda had decided to move its next-generation Civic hybrid production to Indiana from Mexico. Production of that model in Indiana could begin as soon as May 2028.
The announcement came as the world continues to react to the wide-ranging tariffs announced by the United States since President Donald Trump’s inauguration. Specifically for the automotive sector, the United States is imposing a 25 percent duty on all foreign-made vehicles imported into the country. In May, an identical tariff will be applied to foreign-made automotive parts and components. Tariffs assessed on steel and aluminum imports into the United States will also likely impact the automotive sector.
On April 13, Trump hinted that the automotive tariffs might be paused, but that has not materialized so far.
In addition, the United States is imposing a 10 percent tariff on Japan and numerous other trading partners as it seeks to renegotiate existing bilateral trade agreements. On Wednesday, Trump said on his Truth Social account that Japanese officials were headed to Washington on April 16 to negotiate tariffs and other international matters.
On April 15, Honda told Reuters it was not planning on moving its current automotive production based in Canada and Mexico to the United States. That statement came in response to a report published by the Japanese news organization Nikkei, which said Honda was considering moving production into the United States to eventually meet the goal of producing 90 percent of its products sold in the United States domestically.
Moreover, Nikkei reported that Honda is planning on boosting its U.S.-based vehicle production by as much as 30 percent over the next two or three years in response to the new automotive tariffs. Honda neither confirmed nor denied that report in the statement it issued to Reuters. Rather, it said it is “confident” in its ability to “continue navigating current market conditions effectively.”
In 2024, the United States was Honda’s largest market. U.S. sales made up 40 percent of its annual total.
