News Releases 2006

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Corporate
Japan
May 24, 2006

Honda Achieves Record Monthly Overseas and Worldwide Auto Production

May 24, 2006 - Honda Motor Co., Ltd. today announced its automobile production, domestic sales, and export results for the month of April 2006. Honda achieved a new record for overseas and worldwide production for the month of April.

<Production>

Domestic auto production increased 5.5% for the month of April, compared to the same month a year ago due to an increase in production of domestic models. This is the first time in five months, since November 2005, that domestic production exceeded the total from the same month a year ago.

Overseas production increased 3.6% in April, due to increased production in Asia. It is the ninth consecutive month, since August 2005, for an increase over the same month a year ago.

Worldwide production increased 4.3% in April, due to an increase in both domestic and overseas production. It is the ninth consecutive month, since August 2005, for an increase over the same month a year ago.
Overseas and worldwide production achieved a new monthly record in April, including record production in Asia and China.

<Japan Domestic Sales>

Total domestic auto sales declined 11.2% compared to the same month a year ago, due to a decline in new vehicle registrations (passenger car and light truck sales, not including mini vehicles). It is the second consecutive month, since April 2006, that total domestic sales declined from the same month a year ago.

New vehicle registrations declined 8.4% in April compared to the same month a year ago due to decreased sales of popular models such as Fit and Odyssey. It is the first time in two months, since February 2006, that new vehicle registrations declined from the same month a year ago.

Sales of mini vehicles on the other hand, increased 8.9% for the month of April compared to the same month a year ago, due to the addition of the Zest model, which was introduced in March of this year. It is the second consecutive month, since March 2006, for sales of mini vehicles to increase compared to the same month a year ago.

Life was Honda’s best selling vehicle on sales of 8,299 units, which ranked as the industry’s fifth best selling mini vehicle in April. The Fit and Zest ranked as Honda’s second and third best selling vehicles for the month. Fit had sales of 7,002 units, the fourth best selling car among new vehicle registrations (not including mini vehicles), while Zest had sales of 6,651 units, the industry’s seventh best selling mini vehicle. StepWGN was Honda’s fourth best selling vehicle on sales of 4,943 units, the industry’s sixth best selling car among new vehicle registrations (not including mini vehicles.)

<Exports from Japan>

Auto exports from Japan for the month of April totaled 51,535 units, a 13.3% increase compared to the same month a year ago, due primarily to increased exports to North America. Fit, which was introduced to the market in April, was a key contributor to the increased export to North America. It is the second consecutive month, since March 2006, that exports exceeded the total from the same month a year ago.

PRODUCTION, SALES, EXPORTS (April 2006)

Production

  April Year-to-Date Total
(Jan - Apr 2006)
Units
Vs.4/05
Units
Vs.2005
Domestic
103,097
+5.5%
432,680
-3.0%
Overseas (CBU only)
185,297
+3.6%
761,272
+8.2%
Worldwide Total
288,394
+4.3%
1,193,952
+3.9%

Production by Region

  April Year-to-Date Total
(Jan - Apr 2006)
Units
Vs.4/05
Units
Vs.2005
North America
110,241
-2.5%
473,250
+3.9%
(USA only)
77,335
-1.0%
335,656
+7.1%
Europe
14,832
-12.1%
66,701
+1.4%
Asia
54,061
+27.9%
193,595
+23.0%
(China only)
29,835
+44.2%
103,271
+41.4%
Others
6,163
-8.2%
27,726
+11.7%
Overseas Total
185,297
+3.6%
761,272
+8.2%

Japan Domestic Sales

Vehicle type April Year-to-Date Total
(Jan - Apr 2006)
Units
Vs.4/05
Units
Vs.2005
Registrations
28,662
-8.4%
149,751
-1.8%
Mini Vehicles
23,404
+8.9%
86,561
-2.6%
Honda Brand Total
52,066
-1.4%
236,312
-2.1%

Export from Japan

  April Year-to-Date Total
(Jan - Apr 2006)
Units
Vs.4/05
Units
Vs.2005
North America
28,736
+53.2%
113,922
+23.2%
(USA only)
23,684
+37.5%
100,175
+21.2%
Europe
9,357
-31.7%
49,538
-1.1%
Asia
1,692
+13.1%
6,588
+6.9%
Others
11,750
+1.8%
37,131
+1.8%
Total
51,535
+13.3%
207,179
+11.9%