Honda Increases Production in the North America due to Strong Sales

Tokyo, Dec 22, 2005 (ABN Newswire) - Honda Motor Co., Ltd. (TSE: 7267) today announced production, domestic sales, and export results for the month of November.

Production
Domestic production for the month of November increased 4.8% compared to the same month a year ago due to an increase in production of both domestic and export models. This is the first time in five months, since June 2005, that domestic production exceeded the total from the same month a year ago.

Overseas production in November increased 8.2%, due largely to production increases in North America, where the second line of the Alabama plant, which produces light truck models including Odyssey and Pilot, added a second shift earlier this year, reaching full capacity in October. Increased production in Asia also contributed to the rise in overseas production. It is the fourth consecutive month, since August 2005, for an increase in overseas production compared to the same month a year ago.

Worldwide production in November increased 6.9% due to the increased domestic and overseas production. It is the fourth consecutive month for an increase over the same month a year ago.

Japan Domestic Sales
Total domestic sales, including imported cars, was 57,394 units for the month of November, a 2.8% decline compared to the same month a year ago, due to decreased sales of mini vehicles. It is the first time in three months, since August 2005, for domestic sales to decline compared to the same month a year ago. On the other hand, sales of passenger cars and light trucks (including import models) exceeded the same month a year ago for the third consecutive month. It is the first time in two months for sales of mini-vehicles to decline compared to the same month a year ago.

In the passenger car and light truck category, Fit was Honda's best selling vehicle (10,180 units, the third best selling car in the market) for the month of November. The all-new StepWGN (7,093 units, the seventh best selling car in the market), which underwent a full model change in May, and the Odyssey (4,691 units, the 15th best selling car in the market), which received a minor model change in October, were the second and third best selling vehicle for the month. In the mini-vehicle category, Life (10,001 units, the 3rd best selling mini vehicle in the market) was Honda's best-selling vehicle for the month.

Exports from Japan
Total exports in November of 38,306 units, were down 21.0% compared to the same month a year ago -- the fourth consecutive monthly decline compared to the same month a year ago. The decrease was due primarily to the fact that exports to North America in November last year experienced a large increase following the full model change of the Acura RL (known as Legend in Japan) in October and production of Accord and Civic has gradually switched to local production. In addition, exports to Europe declined for the fifth consecutive month with the June 2005 startup of exports of Jazz (known as Fit in Japan) from a new Honda plant in China.

Honda Automobile Production, Sales & Exports (November 2005)

                       Production

                         November   "Year-to-Date Total
                                      (Jan - Nov 2005)"	
                        Units   Vs.11/04   Units  Vs.2004
Domestic (CBU+CKD)      110,057 +4.8%   1,160,583  +2.6%
Overseas (CBU only)     187,154 +8.2%   1,983,250  +11.0%
Worldwide Total         297,211 +6.9%   3,143,833  +7.8%


                   Production by Region

                         November   "Year-to-Date Total
                                      (Jan - Nov 2005)"	
                        Units   Vs.11/04   Units  Vs.2004
North America           117,732 +10.5%  1,249,250 +10.4%
 (USA only)              80,344 +15.3%    870,046 +16.6%
Europe                   16,678 -10.9%    173,367 -3.4%
Asia                     46,256 +11.3%    489,581 +19.9%
Others                    6,488  +3.6%     71,052 +6.0%
Overseas Total          187,154  +8.2%  1,983,250 +11.0%


                      Japan Domestic Sales

Vehicle type              November   "Year-to-Date Total
                                       (Jan - Nov 2005)"
                         Units  Vs.11/04   Units  Vs.2004
"Passenger Cars
 & Light Trucks"          36,914  +3.0%   432,122  -1.5%
Mini Vehicles             20,480 -11.7%   229,420  -3.2%
Honda Brand Total         57,394  -2.8%   661,542  -2.1%


                          Export from Japan

                          November       "Year-to-Date Total
                                          (Jan - Nov 2005)"	 
                         Units Vs.11/04  Units Vs.2004
North America             16,675  -23.4%  228,673 +4.8%
 USA only)                14,709  -23.4%  203,033 +2.7%
Europe                    10,092  -36.2%  125,318 -6.4%
Asia                       1,194  -32.5%   15,548 -6.0%
Others                    10,345  +13.6%  101,834 +10.1%
Total                     38,306  -21.0%  471,373 +2.2%