
Photo courtesy of Honda
Honda To Move Civic Production From Mexico to Indiana: A ‘Win’ Due to the ‘Trump Effect,’ White House Claims
March 4, 2025
Despite the ongoing economic turbulence and concerns surrounding the imposition of President Donald Trump’s tariffs on Canada, China, and Mexico, the administration is advertising at least one major win.
On March 3, the White House announced a “Monday morning win” as it detailed news of Honda moving the manufacturing of its iconic Civic model from Mexico to the state of Indiana. Appending the slogan of “the Trump effect” to news of the move, the White House further indicated that Wisconsin-based Clarios — a leader in low-voltage energy storage — was planning a $6 billion expansion of its U.S. operations.
As The New York Post reported, Honda had initially been planning to produce the Civic in Guanajuato, Mexico, beginning in November 2027. Plans have since changed, according to sources familiar with the matter, and the Civic is now slated for production in Indiana, starting in May 2028.
Reuters cited three separate anonymous sources as claiming that rising production costs in Canada and the U.S. had pushed Honda to decide upon manufacturing the Civic in Mexico. According to those same sources, the move back to Indiana will see about 210,000 Civics produced annually from within that state’s borders when production kicks off.
Trump Backers Supportive of Honda News, Citing Tariffs as Effective
Those supporters of Trump’s game plan were enthusiastic over the news.
“I think Trump has been effective at using tariffs, and the threat of tariffs, to get more made-in-America jobs here,” Stephen Moore, economist and senior fellow at The Heritage Foundation, told The New York Post.
“This was a victory for Trump,” he added.
Sen. Jim Banks, R-Ind. told FOX News that the president had begun to execute his plan to protect American workers.
“President Trump has taken the ‘kick me’ sign off the backs of our workers and manufacturers. This report is great news for Hoosiers and all Americans — and it’s only just the beginning,” Banks told FOX News Digital via interview.
“The America First agenda is going to be racking up countless wins over the next four years,” Banks added.
Neutral Analysts, Honda Weigh in Over Tariff and Production News
Some neutral parties also spoke to the potential efficacy of the tariff strategy regarding the protection of American auto sector jobs — albeit with a potential price tag attached for U.S. consumers.
Jonathan Ernest, economics professor at Case Western Reserve University, suggested that other automakers might follow suit in terms of increasing U.S. production as a result of the tariffs, while consulting firm Anderson Economic Group stated that car prices could rise by as much as $12,000 as a result of the same tariffs.
For its part, Honda highlighted its existing U.S. production while avoiding any detailed commentary over the recent reports.
“Honda has made no such announcement and will not comment on this 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. We have the flexibility to produce products in each region based on customer needs and market conditions,” Honda told Car and Driver.
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