Temple of VTEC Rumors and News - Honda Achieves Double-Digit Increase in Domestic (JP) Sales in July

August 26, 2004 � Honda Motor Co., Ltd. today announced production, Japanese domestic sales, and export results for the month of July.� Domestic sales for the month showed a double-digit increase for the first time since May 2002, due to strong sales of all-new models and existing models that underwent minor model changes.

Both domestic and overseas production increased in July by 14.8% and 10.7% respectively compared to the same month a year ago. Domestic production increased due primarily to strong domestic sales and overseas production increased due to a major increase in production in Asia. Production in Asia has achieved record monthly production volumes for three consecutive months.

Total domestic sales increased 17.7% in July � the first double-digit increase in 26 months.� Strong sales of new models such as Edix and Elysion, as well as the Fit -- which underwent a minor model change -- contributed to this growth. Fit was Honda�s best selling car for the month with sales of 14,525 units, while Life also remained strong with sales of 13,696 units, a 47.1% increase from the same month last year. Sales of the new Odyssey increased 191.1% compared to the same month last year, on sales of 7,059 units.� New models are being well received, with July sales of Elysion and Edix reaching 7,919 units and 3,471 units, respectively.

Total exports in July declined slightly by 1% compared to the same month last year. July exports to North America fell by 28.6% due to increased local production of the Accord and Civic models while exports to Europe increased by 49.4% due to high demand for the Accord, Accord diesel and Jazz models. The year-to-date total increased 4.3% compared to last year.

PRODUCTION, SALES, EXPORTS� (July 2004)

PRODUCTION

�	July		Annual Total-2004
�	Units	Vs.7/03	Units	Vs.2003
Domestic (CBU+CKD)	115,481	+14.8%	720,574	+5.9%
Overseas (CBU only)	158,007	+10.7%	1,113,676	+4.8%
Worldwide Total	273,488	+12.3%	1,834,250	+5.2%

OVERSEAS PRODUCTION

�	July		Year-to-Date Total (Jan - July 2004)
�	Units	Vs.7/03	Units	Vs.2003
North America	95,841	+1.1%	711,887	-5.7%
(USA only)	62,319	-1.3%	467,881	-7.7%
Europe	14,177	-1.0%	113,810	+2.4%
Asia	43,222	+48.3%	247,095	+43.1%
Others	4,767	+5.7%	40,884	+71.4%
Overseas Total	158,007	+10.7%	1,113,676	+4.8%

SALES (JAPAN)

Vehicle type	July		Year-to-Date Total (Jan - July 2004)
Vehicle type	Units	Vs.7/03	Units	Vs.2003
Passenger Cars & Light Trucks	48,211	+19.2%	284,546	-4.2%
(Imports)	654	-67.5%	5,810	-57.5%
Mini Vehicles	21,828	+14.6%	155,549	+14.6%
Honda Brand Total	70,039	+17.7%	440,095	+1.7%

EXPORTS

�	July		Year-to-Date Total (Jan - July 2004)
�	Units	Vs.7/03	Units	Vs.2003
North America	15,062	-28.6%	138,211	-4.6%
(USA only)	13,764	-31.9%	126,037	-1.0%
Europe	13,467	+49.4%	81,773	+9.5%
Asia	1,598	+7.9%	9,992	-17.3%
Others	7,946	+15.7%	56,447	+31.4%
Total	38,073	-1.0%	286,423	+4.3%