Honda Eyes Shifting Production Of Hybrid Civic From Japan To US, Says Report: Retail’s Skeptical

Japanese automaker Honda Motor Co (HMC) is considering moving the production of its hybrid Civic model to the U.S. from Japan in light of Trump’s tariffs, according to a Bloomberg report.

A company spokesperson told Bloomberg that production of the five-door hybrid model, which began in February in Saitama prefecture in central Japan, will be relocated to Honda’s plant in Indiana around June or July.

The spokesperson said the decision was based on external factors, including the Trump administration’s imposition of tariffs on cars manufactured outside the country and imported into the U.S. Tariffs on auto parts are expected to take effect no later than May 3.

Trump said on Monday that he is looking to “help some of the car companies” as automakers “need a little bit of time” to move their production to the U.S., raising hopes among investors for some reprieve in the tariffs.

In 2024, the company produced 3.73 million vehicles globally, of which 693,259 were made in Japan and over a million units in the U.S. Notably, 5,379 vehicles were exported from Japan to the U.S. during the calendar year.

Following reports that Honda is considering moving production from Mexico and Canada to the U.S., Mexico Economy Minister Marcelo Ebrard highlighted earlier this week that the company’s executives have told the Mexican government there are no changes in its production plan in the country.  

On Stocktwits, retail sentiment around Honda fell 14 points further into the ‘extremely bearish’ territory while message volume jumped from ‘high’ to ‘extremely high’.

HMC stock is up by about 0.5% year-to-date but down by nearly 19% over the past 12 months.

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