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Honda May Shift Fit Production To U.S.

Japanese automaker says it may move production of the popular Fit hatchback to the U.S. to offset the effects of a stronger yen.

NEW YORK (AP) -- Honda Motor Co. says it may move production of the popular Fit hatchback to the U.S. to offset the effects of a stronger yen.

Spokesman Ed Miller says the company has not made any firm decisions, nor has it decided which of the company's U.S. plants might build the vehicle. The hatchback is currently built at a facility outside Tokyo.

The Fit has been a strong seller for Honda in the U.S. But the effects of the stronger yen versus the dollar is diluting the profits made on exported vehicles. Honda currently builds just under 80 percent of its U.S.-sold vehicles at factories in the U.S.

News of the possible production move was first reported by Automotive News.

U.S.-traded shares of Honda rose 43 cents to $30.79 on Monday.