Production of the Honda Civic Hybrid model will be moved to the Indiana facility.
Japanese automaker Honda Motor Co., Ltd. will move production of its five-door civil hybrid model from its current origins from Japan to Indiana.
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, Honda’s American operations spokesman Chris Ablzese said the carmaker is currently “dual source” of citizen hatchback hybrids from both Japan and its Indiana automotive factory. He confirmed that it will be produced in Indiana in the second half of 2025.
The move follows a March report issued by Reuters. Honda said it has decided to move the next generation of civil hybrid production from Mexico to Indiana. Production of that model in Indiana could begin in May 2028.
The announcement comes as the world continues to respond to the widespread tariffs announced by the US since President Donald Trump took office. Especially for the automotive sector, the US places a 25% obligation on all foreign-made vehicles imported into the country. In May, the same tariffs will apply to foreign-made automotive parts and components. Tariffs assessed for imports of steel and aluminum into the US could also affect the automotive sector.
On April 13, Trump suggested that tariffs on cars could be suspended, but that hasn’t happened so far.
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Furthermore, the US is pursuing 10% tariffs on Japan and many other trading partners as it seeks to renegotiate existing bilateral trade agreements. On Wednesday, Trump said in a true social account that Japanese officials headed to Washington on April 16 to negotiate tariffs and other international issues.
On April 15, Honda told Reuters it is not planning to move its current Canadian and Mexico-based car production to the United States. The statement was born in response to a report issued by Japanese press agency Nikkei. Honda said it is considering moving production to the US to achieve its goal of producing 90% of products sold in the US domestically.
Additionally, Nikkei reported that Honda plans to increase US-based vehicle production by up to 30% over the next two to three years, in response to new car rates. Honda neither confirmed nor denied the report in a statement issued to Reuters. Rather, he said he was “confident” in his ability to “continue to effectively navigate the current market situation.”
In 2024, the US was Honda’s largest market. Sales in the US account for 40% of the annual total.
Reuters contributed to this report.
