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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. (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.

For further information, please visit the Honda Motor Co., Ltd. home
page at: world.honda.com <http://world.honda.com>