Way back in the day, when Japanese, not Chinese, was considered the 'cheap' stuff. The Moore it changes ;)
Japanese made Luna in the U.S. was the doings of Tommy Moore and Rhythm Band Inc., Ft. Worth, TX. (RBI) Same folks behind the Hondo brand (Samick-Korea.)
Luna Gakki (ukuleles) was founded in Okayama in 1936. By the 60's they were probably one of the most popular uke makers in Japan but in a declining market. Gossip varies on exactly when the guitars got added to the catalog.
RBI picked up the line in the late 60s and, as luck would have it, the Okayama factory burned to the ground at right about the same time. The Luna Gakki offices in Tokyo and Yokohama soldiered on with production 'temporarily' shifted to Mituba Gakki and others. The Okayama factory was never rebuilt.
Kiwaya acquired the brand in the late 60s but production remained subcontracted out as before. Kiwaya is still doing their business pretty much the same way today.