Honda Motor Company, Ltd.
HMC
Consumer Discretionary
4
exclusion reasons
4 themes
Honda Motor Company, Ltd. is screened out under 4 exclusion reasons spanning 4 issue categories.
This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. It is a statement of values.
American Honda Motor Co. entered a consent decree with the U.S. DOJ/EPA after equipping approximately 1.6 million model-year 1995-1997 vehicles with misfire detection systems that did not comply with Clean Air Act OBD regulations. Honda paid a $10.1 million civil penalty and agreed to provide extended emissions warranties and supplemental environmental projects.
In January 2025, the CFPB ordered American Honda Finance Corporation to pay $10.3 million in consumer redress and a $2.5 million civil penalty for Fair Credit Reporting Act violations. Honda Finance falsely reported approximately 300,000 borrowers as delinquent during COVID-19 despite authorized payment deferrals, and failed to properly investigate consumer disputes. This is the CFPB's second enforcement action against Honda Finance; the first (2015) addressed discriminatory auto loan pricing at a cost of $24 million.
Honda Executive Vice President Aoyama resigned in April 2025 following allegations of inappropriate conduct, as reported by Reuters. The departure of a senior executive under such circumstances raises governance concerns about the company's internal accountability mechanisms.
Excluded under our animal exploitation screen based on the company's commercial activities involving animals. This is a policy-based exclusion — identified through screening by Cruelty Free Investors and/or internal research.
Prior pipeline note: Honda Motor Company manufactures and sells automobiles, motorcycles, and power equipment. Its core business model involves the production and sale of vehicles, which inherently requires extensive animal testing to meet global regulatory safety standards. This includes crash testing using animal cada
Research Sources
1 organization
Related Exclusions
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A digest of changes to our exclusion list — new additions, removals, and the evidence behind them. We review the list continuously as new evidence surfaces.
Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
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