The firm has been forced to recall millions of vehicles worldwide, to
replace faulty airbag inflators made by automotive parts manufacturer,
Takata.
Six deaths have been linked to Takata airbags - all in Honda cars.
Honda says the costs will not affect its dividend or profit forecasts for the current year.
In April, Honda cut its profit growth forecast after missing the mark last year on recalls and other issues.
Several
car manufacturers, including Toyota, Nissan, Daihatsu, Mazda and
Mitsubishi, have recalled models fitted with Takata airbags, which have
been connected to more than 100 injuries.
The fault has led to 34
million cars being recalled in the US, the biggest auto-safety recall in
US history, and Takata faces multiple class action lawsuits and
criminal and regulatory investigations in North America.
Globally, the number of vehicles affected is thought to be 53 million.
Investigations
found that Takata airbag inflators were not properly sealed and could
be damaged by moisture. Some airbags burst under pressure, spraying
shrapnel inside the car.
Some scientists suspect that the ammonium nitrate propellant may have
been part of the problem, because it can become unstable over time,
particularly in extreme heat and humidity.
Takata is working to replace all the faulty airbag kits.
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