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Honda Won’t Build Civic Hybrid in Mexico Because of Looming Tariffs
A new report shows changing production plans as Honda looks to avoid impending tariffs on the hugely popular Civic and Civic Hybrid.
A new report from Reuters details a change in Honda’s production plans, with the automaker ditching previous plans to move Honda Civic Hybrid production to Mexico. According to the Reuters report, which was released on the eve of the Trump administration’s 25 percent tariffs on Canada and Mexico, Honda will produce the next-generation Civic at its Greensburg, Indiana, facility.
Apart from the Civic Type R, which is built in Japan, Honda currently splits production for North America–bound Civics and CR-Vs between its production facilities in Indiana and Ontario, Canada. Reuters cites three anonymous sources who confirmed initial plans for Honda to move Civic production to Guanajuato, Mexico. The new location was picked due to rising costs in Indiana and Canada.
According to the sources, production at the Mexico facility had been scheduled to begin in November 2027. The revised plans will see the Indiana-based production start in May 2028—a six-month delay. The same anonymous sources cite an expected annual production of around 210,000 cars, with Honda looking to import from countries not impacted by the tariffs should the production expectations fall short.
Civic sales were up 21 percent last year, placing it 10th on the highest-selling list in the United States, and giving it an annual sales figure of just over 242,000. While about 40 percent of Honda’s U.S. sales each year are imported from Canada and Mexico, the company also exports roughly 60,000 U.S.-made cars to those countries, meaning any retaliatory tariffs would further hurt the automaker.
A Honda representative issued the following statement to Car and Driver in response to the Reuters article.
“Honda has made no such announcement and will not comment on this report. The Honda Civic has been made in our Indiana Auto Plant since the facility opened in 2008 based on our longstanding approach to build products close to the customer. We have the flexibility to produce products in each region based on customer needs and market conditions.”
Jack Fitzgerald’s love for cars stems from his as yet unshakable addiction to Formula 1.
After a brief stint as a detailer for a local dealership group in college, he knew he needed a more permanent way to drive all the new cars he couldn’t afford and decided to pursue a career in auto writing. By hounding his college professors at the University of Wisconsin-Milwaukee, he was able to travel Wisconsin seeking out stories in the auto world before landing his dream job at . His new goal is to delay the inevitable demise of his 2010 Volkswagen Golf.
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