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Honda Achieves Record Monthly Overseas and Worldwide Auto Production.

Tokyo, Japan, Aug 28, 2006 - (JCN Newswire) - Honda Motor Co., Ltd., today announced its automobile production, domestic sales, and export results for the month of July 2006. Honda achieved a new record for overseas and worldwide production for the month of July.

Production

Domestic auto production in July increased 8.9% compared to the same month a year ago due to an increase in production of domestic and export models. It is the second consecutive month for a year on year increase in domestic production.

Overseas and worldwide production achieved a new monthly record in July, including record production in Europe and Asia.

Overseas production in July increased 4.4% compared to the same month a year ago due to a 26.4% production increase in Europe. It is the twelfth consecutive month for a year on year increase in overseas production.

Worldwide production increased 6.2% for the month of July, compared to the same month a year ago. It is also the twelfth consecutive month for a year on year increase in worldwide production.

Japan Domestic Sales

Total domestic auto sales declined 5.4% compared to the same month a year ago, due to a decline in new vehicle registrations (Total vehicle registrations not including mini vehicles). It is the fourth consecutive month, since April 2006, that domestic sales decreased compared to the same month a year ago.

New vehicle registrations declined 22.8% compared to the same month a year ago. This was primarily due to stabilizing sales of the Step Wagon and Air Wave. It is the fourth consecutive month, since April 2006, that new vehicle registrations declined compared to the same month a year ago.

Sales of mini vehicles increased 41.1% for the month of July compared to the same month a year ago, due to increased sales of Zest which was launched in March. It is the fifth consecutive month, since March 2006, for sales of mini vehicles to increase compared to the same month a year ago.

The Zest was Honda's best selling vehicle in July, with sales of 9,526 units, ranking as the industry's third best selling mini vehicle. The Fit ranked as Honda's second best selling vehicle for the month of July. Fit was 8,535 units, the fourth best selling car among new vehicle registrations. The Step Wagon ranked as Honda's third best selling vehicle for the month of July, with sales of 6,606 units, the ninth best selling car among new vehicle registrations. The Life was Honda's fourth best selling vehicle for the month of July, with sales of 6,421 units, and it ranked as the seventh best selling vehicle car among mini vehicles in the industry.

Exports from Japan

Exports for the month of July increased 26.7% compared to the same month a year ago, due to an increase for North America and Europe. It is the second consecutive month for a year on year increase in exports.

Production, Sales, and Exports (July 2006)
Production
-------------------------------------------------------------
 July Year-to-Date Total
 (Jan - July 2006)
 Units Vs.7/05 Units Vs.2005
------------------------------------------------------------
Domestic (CBU+CKD) 110,272 +8.9% 757,848 +0.5%
Overseas (CBU only) 164,352 +4.4% 1,334,961 +8.0%
Worldwide Total 274,624 +6.2% 2,092,809 +5.1%
-------------------------------------------------------------

Production by Region
-------------------------------------------------------------
 July Year-to-Date Total
 (Jan - July 2006)
 Units Vs.7/05 Units Vs.2005
-------------------------------------------------------------
North America 88,571 +0.7% 807,913 +4.1%
(USA only) 61,722 -1.4% 567,610 +5.9%
Europe 16,435 +26.4% 115,385 +4.6%
Asia 52,595 +1.5% 359,186 +17.8%
(China only) 27,231 -1.3% 189,024 +27.5%
Others 6,751 +48.5% 52,477 +16.8%
Overseas Total 164,352 +4.4% 1,334,961 +8.0%
-------------------------------------------------------------

Japan Domestic Sales
-------------------------------------------------------------
 July Year-to-Date Total
 (Jan - July 2006)
Vehicle Type Units Vs.7/05 Units Vs.2005
------------------------------------------------------------
Registrations 33,435 -22.8% 246,472 -10.4%
Mini Vehicles 22,851 +41.1% 161,297 +7.1%
Honda Brand Total 56,286 -5.4% 407,769 -4.2%
-------------------------------------------------------------

Exports from Japan
-------------------------------------------------------------
 July Year-to-Date Total
 (Jan - July 2006)
 Units Vs.7/05 Units Vs.2005
-------------------------------------------------------------
North America 25,031 +18.7% 195,439 +21.5%
(USA only) 22,729 +15.9% 171,275 +18.5%
Europe 12,209 +14.2% 84,060 -3.2%
Asia 1,866 +46.2% 11,548 +15.1%
Others 12,752 +62.1% 73,062 +14.5%
Total 51,858 +26.7% 364,109 +13.3%
-------------------------------------------------------------


About Honda Motor Co., Ltd.

Honda Motor Co., Ltd. (TSE: 7267/NYSE: HMC/LSE: HNDA.L) is one of the leading manufacturers of automobiles and power products and the largest manufacture of motorcycles in the world. Honda has always sought to provide genuine satisfaction to people worldwide. The result is more than 120 manufacturing facilities in 30 countries worldwide, producing a wide range of products, including motorcycles, ATVs, generators, marine engines, lawn and garden equipment and automobiles that bring the company into contact with over 19 million customers annually. For more information, please visit http://world.honda.com.

Source: Honda Motor Co., Ltd.

Contact:
Honda Motor Co., Ltd.
Media Inquiries
corporate_pr@hm.honda.co.jp
+81-3-5412-1512


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Publication:JCN Newswires
Geographic Code:9JAPA
Date:Aug 28, 2006
Words:887
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