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New U.S. plant for Honda?

Posted by: Ian Rowley on May 15, 2006

At at time when U.S. auto makers are trimming back production, Honda looks set to build another North American plant. According to today’s Nihon Keizai Shimbun, Japan’s leading business daily, Honda plans to open a new North American plant in 2009, which will initially churn out 150,000 Civics and Fit compacts. The Nikkei says capacity could eventually reach 300,000 and help take Honda’s total North American output close to 1.8 million vehicles a year—roughly the same as Toyota. The report doesn’t say where Honda will build the new plant other than that it will likely be near one of its existing facilities. Honda currently has plants in Ohio, Alabama, Ontario, and Jalisco in Mexico. Let the bidding commence.

Honda could certainly benefit from another plant in North America. Sales last year rose 6% to 1.66 million—roughly half its total global auto sales—whereas local production was 1.4 million units. This year, Honda has continued to outpace most rivals—sales were up 6.5% in the U.S. in April. A new plant would also help it close the output gap on Toyota which produces about 1.8 million vehicles annually in North America. Still, don’t expect Toyota to stand still. It’s opening a new 200,000 unit plant in Texas later this year and will open a second 150,000 unit Canadian plant in 2008 to meet surging demand of its own.

Reader Comments

Terry Brown

May 19, 2006 12:40 AM

Good move for Honda.


May 20, 2006 5:35 PM

Honda has deffinetly made a step forward with this movement , the 2006 Honda Civic fulfills all the expectations of a customer.

Check up : for more information

no one

May 21, 2009 11:21 PM

honda and Toyata should be forced out of the U. S. Market.


May 22, 2009 11:36 PM

No One- You are exactly what your handle indicates- No One. If you can understand my statement. Honda, Toyota, Nissan, Mazda, Kia, Hyundai, BMW, Mercedes and Kia, plus others, have invested in this country. You midwest inbred bigots are clueless. If you can read, look at domestic content for cars like the Avalon, Accord and Tundra versus a Crown Vic, F150 and and Equinox while you're stuffing your obese frame at a Denny's before shopping at a Wal Mart. You're an idiot.

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