Honda has reportedly decided to make its next Civic hybrid in the US rather than Mexico, according to a Reuters report. The news agency – citing anonymous sources – said the move to make the model in the US would avoid potential tariffs on one of its top-selling car models.

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US President Donald Trump’s has proposed 25% tariffs on goods from Mexico and Canada, which could come into effect from 4th March.

Reuters reported that Honda now plans to build the next gen Civic model in Indiana from May 2028 with an expected annual production of around 210,000. Honda currently imports around 160,000 cars from Mexico to the US each year.

Last year, Honda Executive Vice President Shinji Aoyama warned that US tariffs on Mexican vehicle imports “would have a big impact.”

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