Honda is realigning its North American manufacturing strategy in a move that surprisingly helps preserve jobs rather than eliminate them. While the automaker is shifting some of its CR-V production out of the United States, the change is more of a production swap than a downsizing.

According to a statement from Honda, part of the CR-V volume currently built in Canada for the U.S. market will be transferred to the East Liberty Plant (ELP) in Ohio, which already assembles the CR-V. In exchange, a similar volume of CR-Vs intended for export (non-U.S. markets) will be moved from the ELP to Honda’s Canadian facility. “From the perspective of production allocation by destination, there are some minor adjustments,” Honda said, “but this does not mean that production is being shifted from Canada to the United States.”

While the company hasn’t disclosed how many units will be affected by this redistribution, the decision follows a pause in Honda’s planned investment in Canada. The automaker had previously announced an ambitious plan to build up to 250,000 vehicles annually in Canada, potentially creating 1,000 new jobs. However, that expansion has been delayed for at least two years due to tariff concerns.

Looking ahead, Honda may continue to reevaluate its North American production footprint. The company already builds over 200,000 Civics annually at its Alliston, Ontario plant and produces engines at another Canadian facility north of Toronto.