Sen. Jim Banks, R-Ind., praised the likely decision by Honda to manufacture its popular Honda Civic model in Indiana instead of Mexico.
The move by the major automaker was triggered by President Donald Trump's 25% tariffs on Mexico, which are set to go into effect on Tuesday after a month-long pause after a temporary agreement with the country, Reuters reported.
The outlet reported that production is likely to start in 2028 for over 200,000 vehicles, but the announcement has yet to be made public by the company.
"President Trump has taken the 'kick me' sign off the backs of our workers and manufacturers. This report is great news for Hoosiers and all Americans-and it's only just the beginning," Banks said in an exclusive statement to Fox News Digital.
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"The America First agenda is going to be racking up countless wins over the next four years," the senator added.
The report is presumably good news for the Greensburg, Indiana, plant of the Japanese company, which has over 3,000 employees and opened in 2008, according to its website. Greenburg itself has a population of just over 12,000 people, according to the United States Census Bureau data from 2023. WISH-TV reported that Honda only has one plant in Indiana right now.
"It's called the 'TRUMP EFFECT,'" the White House's rapid response account tweeted Monday.
Trump's tariff policies on Mexico, Canada and China have made waves in recent weeks as proponents argue it's a critical step in boosting American manufacturing and stopping illicit fentanyl trafficking, whereas opponents worry it will unnecessarily raise the price of goods. The president also announced that reciprocal tariffs all over the globe will take place on April 2.
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"To the Great Farmers of the United States: Get ready to start making a lot of agricultural product to be sold INSIDE of the United States. Tariffs will go on external product on April 2nd. Have fun!" Trump said on Truth Social on Monday.
As for Banks, he recently praised the reciprocal tariffs, saying they will likely serve as a benefit to the United States.
"The globalist approach to trade threw our workers under a bus driven by their foreign competitors," Banks tweeted on Feb. 13. "President Trump's America First trade plan corrects this injustice that our industries and workers have faced for decades. The reciprocal tariffs announced today will bring back fairness and prosperity and stop Americans from being taken advantage of."
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Honda is not the first automaker to reconsider its approach to tariff policies. Nissan's CEO said last month that the company may move some production out of Mexico to accommodate the changes, although he did not say if it would be in the U.S. instead.
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