Honda to boost US manufacturing, shift production from Canada, Mexico in response to Trump tariffs: report

Honda is reportedly preparing to significantly expand its US manufacturing footprint in response to sweeping new auto tariffs introduced by the Trump administration.The Japanese automaker is considering shifting production of several key models from Mexico and Canada to the US with the goal of ensuring that 90% of the cars it sells in the states are built domestically, according to a report in the Nikkei newspaper.Honda plans to boost its production in the US by up to 30% over the next two-to-three years, the Nikkei reported.The move would be a direct response to President Donald Trump’s recently imposed 25% tariff on imported vehicles — a policy that has upended production plans across the auto industry.Nissan will reportedly cut Japanese production of its top-selling US model, the Rogue SUV, over the next few months — becoming the latest global automaker to alter manufacturing plans in response to new US import tariffs.Honda, the second-largest Japanese automaker by sales, has long depended on the US as its most important market.Last year, it sold approximately 1.4 million vehicles stateside — nearly 40% of its global total — with about two-fifths of those cars imported from Canada and Mexico.In the first quarter of this year alone, US sales rose 5% to nearly 352,000 vehicles.To mitigate tariff costs and maintain pricing competitiveness, Honda now plans to move production of its popular CR-V SUV from Canada to US facilities, and shift assembly of its HR-V SUV from Mexico to American plants.It has also reportedly decided to manufacture the next-generation Civic hybrid in Indiana rather than Mexico.The Nikkei report adds that Honda may hire more American workers to support these changes and could expand production operations to include a three-shift schedule with weekend work.Honda declined to comment on the report.Honda’s anticipated reshuffle is just one of several recent moves by major manufacturers seeking to shield themselves from the fallout of th...