Trajectory of Challenges
Inheriting the Passion and Principles from the Founding
Era to Take on New Challenges in the New Era
At a time when emission regulations and the oil crises created
the need for clean and fuel-efficient vehicles,
Honda succeeded in developing the CVCC, a revolutionary low-emission engine.
The Civic equipped with CVCC became a huge hit in Japan and the United States.
In 1973, both Soichiro Honda and Takeo Fujisawa retired from their posts,
triggering the company to move on from its founding phase, to its expansion phase.

Japan in the 1970s
The Fourth Middle East War of 1973 drove up the price of crude oil. In 1974, Japan’s economic growth rate, which depended almost entirely on imports, plunged into negative growth for the first time in the postwar period. However, the oil crisis triggered the promotion of energy and resource conservation. While industrial pollution problems decreased, air pollution became more serious as urbanization progressed, and automobile emission regulations began to take effect in earnest.

Aiming to Become the “People’s Car” Worldwide
Civic (1972)
At a time when most domestic small cars were RWD sedans, the Civic was an FWD 2-box without a trunk, with tires as close the chassis’ corners as possible.
Honda’s original trapezoidal hatchback design achieved an unprecedented level of comfort. In 1973, a model equipped with a low-pollution CVCC engine was introduced.

Cultivating a New Market of
Female Users
Road Pal (1976)
Italian actor Sophia Loren appeared in a Honda ad, calling out “Rattatta!” while lightly stepping on the Road Pal’s kick starting pedal. Its popular price point and the ease of use attracted many women who came to dealers to buy the Road Pal, asking for the “Rattatta!” Honda went on to develop several derivative models and became a pioneer in the family bike segment.

3-door Hatchback Aimed at
the Global Market
Accord CVCC (1976)
The Accord CVCC was introduced as a high-grade hatchback sedan that offered a higher level of comfort and was designed as an upgrade path for Civic owners. Upon its launch, it was highly acclaimed both in Japan and abroad, and won the Car of the Year awards in Japan and the United States. It featured a stylish design and spacious interior, as well as power steering, air conditioning, and power windows. It was a small car ahead of its time, and gained tremendous popularity.

Develop to Sell a Million Units
ME (Million Seller) Engine Series (1977)
The development concept that led to the seemingly foolhardy goal of 1 million units was “durable, long-lasting, and at one-half the cost.” Five years later, in 1982, the ME engine achieved annual sales of 1 million units, a memorable product for general-purpose engines that was the culmination of Honda’s comprehensive capabilities.

A Production Base in the Kingdom of
Cars
Honda of America Manufacturing (1978)
Established in Columbus, Ohio, USA. Local employees were called “associates,” not “workers,” to achieve a common goal, and were supported by Japanese expatriates who aimed to ensure that quality was as good as Japan, and to develop human resources for the future. After gaining experience and knowledge through the production of motorcycles, Honda became the first Japanese manufacturer to produce locally in the Kingdom of Cars, the U.S.
- World Expo held in
Osaka - Photochemical smog
become a social
problem. - The U.S. Clean Air
Act of 1970
(commonly known as
the Muskie Act) is
enacted.
N360 defect dispute.
Traffic Safety Promotion Operations established.

Establishment of Honda Machinery Co., Ltd.

American Honda Motor (AH) begins donation of 10,000 mini--trailers
and other equipment to the YMCA
as part of its youth support
activities.
Saitama Factory’s Moka Plant
opens and begins operation
in Moka, Tochigi Prefecture.
Four senior managing directors system begins.
Pollution control headquarters established.
- U.S. President
Richard Nixon issues
a statement
defending the dollar
(dollar shock). - The fixed exchange
rate system for the
dollar and yen is
ended. - Capital liberalization
of the automobile
industry and
reduction of import
tariffs begin.
Honda Motor do Brasil (HDB) established in Brazil.

Dream CB500 FOUR launched.
Super Cub C50DX, C70DX and
C90DX launched.

Life, a k-car equipped with a
water-cooled engine, launched.
PT Federal Motor (HFJ)
established in Indonesia.
Yusei (mail delivery) Super Cub
MD90, exclusively for postal
services, launched.
Outboard engines 45 TWIN
(horizontally opposed two-cylinder engine) and 75 TWIN (in-line
two-cylinder engine) launched.
- Okinawa returned to
mainland Japan. - Diplomatic relations
between Japan and
China are established. - Road Law revised;
beginner’s mark
mandatory. - Helmet use for
motorcycles becomes
mandatory.
- Oil Crisis
(First Oil Crisis) - International
currency crisis;
yen soars as Japan
moves to a floating
exchange rate system - Fourth Middle East
War begins.
Soichiro Honda and Takeo Fujisawa retire and Kiyoshi Kawashima sbecomes Honda’s second president.


Civic CVCC 4-door launched.
Honda R&D spins off its
motorcycle development division
and establishes the Asaka R&D
Center.
Yusei (mail delivery) Cub MD50
and MD70 launched*10
EM5000 generator (utilizing the
LIFE 360 cc water-cooled engine)
launched.

Motor Recreation Promotion Center established.
Racing Service Center (RSC) established.
- Negative growth for
the first time in the
postwar period. - The Ministry of
Transport revises
safety standards
(e.g., mandating
three-point seat
belts for front seats). - The automobile
acquisition tax and
weight tax are sharply
raised.
Head office moved from Yaesu,
Chuo-ku to Harajuku, Tokyo.
Honda Machinery Co., Ltd.
renamed Honda Engineering Co.,
Ltd.

Suspension of k-car production
announced.

Civic RS launched.
SED development system
introduced, in which sales (S),
production (E), and
development (D) each perform
their functions to the fullest
extent.

Honda Carburator R&D Co.,Ltd.
established.

Dream CB400 FOUR and
CB550 FOUR launched.
Conducts motorcycle service
activities in wartime South
Vietnam (Saigon).
- Gasoline becomes
unleaded. - End of the Vietnam
War. - First summit of
industrialized nations
held in France.
- Former Prime
Minister Kakuei Tanaka
arrested in the
Lockheed Incident. - 10-mode fuel
economy
announcement system
begins.

Kumamoto Factory begins
operations.
Production of motorcycles begins
at IAP Industriare (IAP, Italy).
Cumulative production of the Civic
series reaches 1 million units in
the four years since launch.
RCB1000 wins debut race in the
European Endurance Championship.

Roller Through GoGo launched*11
Honda Parts & Accessories R&D
Co.,Ltd. established.
Production of motorcycles begins
in Brazil (HDA) (CG125)

Family motorcycle Road Pal
launched.

Accord CVCC launched.
Furusato no Mori(Hometown
Forestation Project )Executive
Committee established.
- Japan establishes an
exclusive economic
zone of 200 nautical
miles. - Japan’s first
geostationary
meteorological
satellite Himawari
is launched. - U.S. motorcycle
emission regulations
begin.
Imola Honda (IH), a joint venture
for the production of motorcycles
and parts for power products,
established in Indonesia.
Resumed participation in the
World GP TT-F1 race, winning in
the F1 class.

General-purpose ME
engines G200 and G150
launched.

Held the 1st NH Circle
company-wide convention.
Consolidated financial results
announced for the first time.
Eara (with Hondamatic
transmission) launched.

Outboard engines 75 and 100
launched.
- New Tokyo
International Airport
(Narita Airport)
opens. - Reform and
open-door policy
adopted in China
(transition to a
market economy). - 1978 exhaust gas
regulations (Japanese
version of the Muskie
Law) applied to new
models.
- The second oil crisis
occurs. - Sony launches the
Walkman (portable
audio player). - Tokyo Summit is held
by the leaders of
Japan, the U.S., and
Europe. - Diplomatic relations
between the U.S. and
China are established.
Completed the Tochigi Proving
Ground (PG-T), a comprehensive
test course.
Honda Manufacturing Nigeria
(HMN) established in Nigeria to
sell motorcycles and power
products.


NR500 makes its debut in the
World GP.
Asaka East R&D Center for power
products established.
Motorcycle Wing dealer network
introduced.

CBX (1000cc), CB750F, and
CB900F introduced.
Civic is revamped for the first
time in seven years.
Portable generator Denta EX400
launched.
Agreement with British Leyland
(BL) signed for licensed
production technology for
Triumph Acclaim (Ballard).
- 10In 1965, a hundred C100s were delivered to the Ministry of Posts and Telecommunications, and in 1971, Honda developed the Honda Delivery MD 90 (Mail Delivery) in postal red paint, known as the “Postal Service Cub,” and delivered 2,625 units. In 1972, the prototype of the current model with 14-inch tires was completed and delivered, and in 1973, production of the MD50/70 also began, contributing to the smooth communication of people.
- 11The idea contest entry was commercialized and became a big hit. Production was initially outsourced to a subcontractor, but could not keep up with demand, and the Hamamatsu Factory rapidly entered production as well. This was the only Honda vehicle without an engine. (It was produced at the Hamamatsu Factory for eight months.)
- 12The world’s first stainless steel vacuum flask with a double-layer structure and without glass was jointly developed by Nippon Sanso and Honda, and released by Act-L. Currently, various products are being sold under the THERMOS brand by Thermos K.K., which was spun off from Nippon Sanso.