On the eve of President Trump's tariffs, Reuters reported Honda would move production of the popular Civic to Indiana. Honda declined to comment.

While several automakers have expressed concerns about the levies, Honda's move is the first concrete measure by a major Japanese car company.

Honda is the latest major company to consider a pivot to US manufacturing after Trump revealed his plan to levy 25% tariffs on Mexico and Canada.

Honda had planned to build the next-generation Civic in Mexico starting in November 2027 as a 2028 model, but news of the 25 percent tariff proposed by President Trump’s administration was the impetus behind the change in manufacturing location.

Honda Motor plans to produce its next Civic hybrid in Indiana rather than Mexico to avoid the impact of upcoming tariffs, according to a Reuters report.

Honda will reportedly manufacture the next-generation Civic in Indiana. That’s a change of plans for the company, which had been planning to manufacture the vehicle in Mexico. The move comes following Donald Trump’s levying of 25% tariffs on goods from Mexico and Canada.

Honda had originally planned to build the next-generation Civic in Mexico, beginning in November 2027, but will instead produce the car in Indiana beginning in May 2028.

Honda has decided to produce its next-generation Civic hybrid in the U.S. state of Indiana, instead of Mexico, to avoid potential tariffs on one of its top-selling car models, according to three people familiar with the matter. Ciara Lee reports Trump says difficult dealing with Ukraine, may be easier with Russia