New facility can build hybrid, gas-powered and electric vehicles
Honda said Monday it is investing $3 billion to build a new manufacturing plant near its existing manufacturing operations in Ohio.
The Wall Street Journal’s market-data display listed Honda at 7267, up 2.87%.
The automaker described the project as part of a broader effort to bolster its U.S. footprint and increase production of hybrid vehicles. Honda said the wider push also encompasses related engines and hybrid systems.
The new facility is expected to begin production in 2029.
Honda said it would be capable of building 240,000 vehicles a year. That annual capacity would form part of the automaker’s broader domestic production network.
The plant will have flexibility to produce multiple vehicle types and powertrains. Honda said the site can build hybrid and gas-powered vehicles as well as electric vehicles, allowing the company to vary the products manufactured at one Ohio location.
Honda said the addition would bring its total U.S. auto production capacity to about 1.3 million vehicles annually.
Alongside the new plant, Honda said it also is investing in its operations in Ohio, Alabama and Georgia to support the broader effort.
The new production site and those investments support the same goal of strengthening Honda’s U.S. manufacturing presence while expanding hybrid production, Honda said.