03:46 AM EST, 03/04/2025 (MT Newswires) -- (Updates with statement from Honda ( HMC ) in the fourth and fifth paragraphs.)

Honda Motor ( HMC ) has decided to manufacture its next generation of Civic hybrid vehicles in the US state of Indiana instead of Mexico to avoid possible tariffs, Reuters reported Monday, citing three people familiar with the matter.

Honda ( HMC ) originally planned to produce the Civic in Guanajuato, Mexico beginning in November 2027 but now plans to begin production of 210,000 vehicles annually in Indiana in May 2028, according to the report.

Honda ( HMC ) will seek to import vehicles from nations not struck by tariffs if the Indiana production falls short of demand, Reuters reported.

Honda ( HMC ) said in a statement sent to MT Newswires that it has "made no such announcement" and declined to comment on the report.

"The Honda Civic has been made in our Indiana Auto Plant since the facility opened in 2008 based on our longstanding approach to build products close to the customer," the company said. "We have the flexibility to produce products in each region based on customer needs and market conditions."

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