Honda to produce the Civic in Indiana instead of Mexico thanks to Trump tariffs, source says

It would appear that President Donald Trump’s tariffs are already working, having prompted one auto giant to base production in the United States.

Trump’s America First policies are going to be a boon for the state of Indiana, as Honda decided to reconsider their decision to build their next Civic in Mexico. The Civic is one of Honda’s top-selling models, meaning tariffs implemented in Mexico would skyrocket the price in America and result in much fewer sales for the company.

This is one of the first moves made by the Japanese auto giant to come into line with Trump’s expectations of companies doing business with the United States and may open the door for others to do the same going forward.

The original site Honda planned to use for the production was located in Guanajuato, Mexico, according to Reuters.

“Mexico was chosen because rising costs were making it tough to produce the car in Indiana and Canada,” the article adds.

“It now plans to build the new Civic model in Indiana from May 2028 with an expected annual production of around 210,000, one of the people said. Honda would look to import from nations not hit by tariffs if production in Indiana falls short of demand,” it added.

The information was provided to Reuters by anonymous sources, as the company has yet to make an official statement regarding the change. A spokesperson for the company “declined to comment on changes to the Civic production plan” but did say that Honda would continue to “take into account demand and the business environment while considering ‘optimal production and allocation globally’.”

X users are considering this a win for Trump:

Sierra Marlee

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