
Honda has decided to produce its next-generation Civic hybrid in Indiana, starting May 2028, to avoid potential U.S. tariffs on Mexican goods, according to Reuters.
The decision marks a shift from Honda’s initial plan to manufacture the Civic in Guanajuato, Mexico, beginning November 2027. This move is a response to the proposed 25% tariffs on goods from Mexico and Canada. Mexico has been a cost-effective production hub for many automakers, with Honda exporting approximately 80% of its Mexican output to the U.S., the world’s second-largest auto market.