Honda Shifts CR-V Production From Canada to U.S. Citing Tariffs

Honda is shifting production of its popular CR-V SUV from Canada to the United States to minimize the impact of U.S. tariffs, requiring increased capacity at its factories in Indiana and Ohio. The move affects Canadian manufacturing and may lead to higher vehicle prices in Canada. In addition, Honda is postponing its planned $11 billion investment in electric vehicle factories and battery production in Ontario, citing slowing demand in North America rather than tariffs. The company also plans to transfer production of the Civic hatchback from Japan to the U.S. Honda's CEO, Toshihiro Mibe, emphasized that these decisions are aimed at optimizing production amid tariff challenges, though the Canadian automotive sector faces significant setbacks. Meanwhile, Nissan views tariffs as an opportunity to accelerate U.S. manufacturing, contrasting Honda's more cautious approach.