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Honda Achieves Record Monthly Overseas and Worldwide Auto Production.

Tokyo, Japan, June 26, 2006 - (JCN Newswire) - Honda Motor Co., Ltd. announced its automobile production, Japan domestic sales, and export results for the month of May 2006. Honda achieved a new record for overseas and worldwide production for the month of May.

Japan domestic auto production declined 1.9% for the month of May, compared to the same month a year ago, due to a decrease in production of domestic models. This is the first time in two months, since March 2006, that domestic production exceeded the total from the same month a year ago.

Overseas production increased 11.4% in May, due to increased production in North America and Asia. It is the tenth consecutive month, since August 2005, for an increase over the same month a year ago.

Worldwide production increased 6.8% in May, due to an increase overseas production. It is the tenth 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 May, including record production in North America ,the U.S., 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 21.1% in May compared to the same month a year ago, due to decreased sales of popular models such as Fit, StepWGN and Air wave. It is the second consecutive month, since April 2006, that new vehicle registrations declined from the same month a year ago.

Sales of mini vehicles on the other hand, increased 4.1% for the month of May compared to the same month a year ago, due to increased sales of Zest which was introduced to the market in March and That's. It is the third consecutive month, since March 2006, for sales of mini vehicles to increase compared to the same month a year ago.

Fit was Honda's best selling vehicle on sales of 7,138 units, which ranked as the industry's third best selling car in May among new vehicle registrations (not including mini vehicles). The Zest and Life ranked as Honda's second and third best selling vehicles for the month. Zest had sales of 6,985 units, the fifth best selling car among new mini vehicle in the industry, while Life had sales of 6,426 units, the industry's sixth best selling mini vehicle.

Exports from Japan

Auto exports from Japan declined 0.2% in May compared to the same month a year ago, due to sales declines for Europe. It is the first time in three months, since February 2006, that exports declined from the same month a year ago.

Production, Sales, and Exports (May 2006)
Production
-------------------------------------------------------------
 May Year-to-Date Total
 (Jan - May 2006)
 Units Vs.5/05 Units Vs.2005
------------------------------------------------------------
Domestic (CBU+CKD) 94,045 -1.9% 526,725 -2.8%
Overseas (CBU only) 203,020 +11.4% 964,353 +8.9%
Worldwide Total 297,065 +6.8% 1,491,078 +4.5%
-------------------------------------------------------------

Production by Region
-------------------------------------------------------------
 May Year-to-Date Total
 (Jan - May 2006)
 Units Vs.5/05 Units Vs.2005
-------------------------------------------------------------
North America 123,834 +8.8% 597,084 +4.9%
(USA only) 86,290 +10.8% 421,946 +7.8%
Europe 15,634 +0.8% 82,335 +1.3%
Asia 54,932 +21.3% 248,527 +22.6%
(China only) 26,112 +20.2% 129,383 +36.5%
Others 8,620 +13.0% 36,407 +12.2%
Overseas Total 203,020 +11.4% 964,353 +8.9%
-------------------------------------------------------------

Japan Domestic Sales
-------------------------------------------------------------
 May Year-to-Date Total
 (Jan - May 2006)
Vehicle Type Units Vs.5/05 Units Vs.2005
------------------------------------------------------------
Registrations 26,238 -21.1% 175,989 -5.2%
Mini Vehicles 22,263 +4.1% 108,824 -1.3%
Honda Brand Total 48,501 -11.2% 284,813 -3.8%
-------------------------------------------------------------

Exports from Japan
-------------------------------------------------------------
 May Year-to-Date Total
 (Jan - May 2006)
 Units Vs.5/05 Units Vs.2005
-------------------------------------------------------------
North America 26,996 +18.6% 140,918 +22.3%
(USA only) 24,851 +26.8% 125,026 +22.3%
Europe 8,556 -41.9% 58,104 -10.4%
Asia 1,745 +24.6% 8,333 +10.2%
Others 10,963 +15.6% 48,094 +4.7%
Total 48,270 -0.2% 255,449 +9.4%
-------------------------------------------------------------


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:Jun 27, 2006
Words:875
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