Honda Won't Build Civic Hybrid in Mexico Because of Looming Tariffs
has reportedly scrapped plans to shift production of the next-generation to Mexico.
Instead of Guanajuato, Mexico, the Civic will instead be produced at the automaker's Greensburg, Indiana facility alongside the .
The change in plans comes the day before the Trump administration puts 25 percent tariffs into effect on both Canada and Mexico.
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.
Outside of 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 was 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 American-made cars to those countries, meaning any retaliatory tariffs would further hurt the automaker.
Car and Driver reached out to Honda for confirmation on the change in production plans and will update this story if we hear back.
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