Honda Marks 30 Years of U.S. Auto Production with Continued Investment in Automobile and Powertrain Operations

  Honda Marks 30 Years of U.S. Auto Production with Continued Investment in
  Automobile and Powertrain Operations

         New $200 Million Powertrain Investment Will Create 200 Jobs

Business Wire

MARYSVILLE, Ohio -- November 01, 2012

Honda today marked its 30^th anniversary of U.S. auto production by reaching
cumulative investments of more than $1.2 billion in U.S. manufacturing
operations in the last two years, including the announcement today of more
than $200 million in new investments in its Russells Point, Ohio, transmission
plant and Anna, Ohio, engine plant, which will add 200 new manufacturing jobs.
Honda has a cumulative investment in America of more than $12.5 billion.

Line off ceremony of the first U.S. Accord (Nov. 1, 1982) at Marysville, Ohio,
Assembly Plant (MAP). ...

Line off ceremony of the first U.S. Accord (Nov. 1, 1982) at Marysville, Ohio,
Assembly Plant (MAP). At the podium, Kazuo Nakagawa, first Honda of America
Manufacturing (HAM) president. (Photo: Business Wire)

“For 30 years, Honda associates in our U.S. auto plants have challenged
themselves and set high standards to create products that meet the needs of
our customers here and in markets around the world,” said Tetsuo Iwamura,
president and CEO of American Honda Motor Co., Inc., and chief operating
officer of North American Regional Operations. “We continue to invest in our
associates, helping to keep our operations in America on the leading edge of
quality, efficiency and flexibility.”

Consistent with Honda’s longstanding commitment to build products close to the
customer, on Nov. 1, 1982 Honda became the first Japanese automaker to produce
automobiles in America (using domestic and globally sourced parts) when the
first Honda Accord rolled off the assembly line at the Marysville, Ohio, auto

Honda builds automobiles, engines and transmissions in North America at seven
auto plants, three auto engine plants and two transmission plants, with the
capacity to produce 1.63 million cars and trucks per year. When combined with
planned production increases at Honda’s U.S. auto plants, the 2014 start of
production of sub-compact vehicles at Honda’s eighth North American auto
plant, now under construction in Mexico, will increase Honda’s North American
capacity to 1.92 million units.

The company has steadily grown its U.S. manufacturing, R&D and sales
operations, and today employs more than 26,000 associates and operates nine
major manufacturing plants and 15 R&D facilities in the U.S., including four
auto plants with an annual capacity of 1.08 million Honda and Acura vehicles.

“Honda’s U.S. responsibilities have matured into global capabilities for
manufacturing, R&D and engineering,” said Rick Schostek, senior vice
president, Honda of America Mfg., Inc. “As we begin to take on a larger role
within global Honda to meet the needs of customers around the world, this is
the right moment to reflect on the great accomplishment by our team of
associates in Ohio in Honda’s first 30 years of U.S. auto production.”

In the coming years, Honda operations in North America will take on new
responsibilities for the mass production launch of global Honda models. Honda
associates in North America will help set the standards for production
processes for key global products that also are made in other regions and then
share their knowledge and expertise to support Honda plants all around the

As part of this new global lead role, Honda also will increase exports from
North America to global markets. Later this year, Honda will reach the one
million mark in total automobile exports from the U.S. Honda also is
increasing its export of major auto parts by almost 70 percent this year in
support of Honda plants in South America, Europe and Asia. This will be a
substantial increase in business for North American suppliers that will grow
even greater in the coming years.

With the latest $200 million investment at the Anna Engine Plant and Honda
Transmission Manufacturing, Honda’s U.S. capital investment exceeds $12.5
billion. In the last two years, Honda has invested more than $2 billion in new
manufacturing capabilities in North America. The investments include:

  *$400 million and 190 new jobs at its Lincoln, Ala., auto and engine plant
    to increase production by 40,000 vehicles per year (to 340,000) and the
    addition of Acura MDX production in early 2013 (transitioning from Honda
    of Canada Mfg. Plant 2).
  *$299 million and 200 new jobs at the Anna Engine Plant to innovate and
    expand local production of powertains and components, including production
    of pulleys for continuously variable transmissions and a new
    320,000-square foot parts consolidation center.
  *$40 million and nearly 300 new jobs at the Greensburg, Ind., auto plant to
    increase production by 50,000 units per year (to 250,000) and to add Civic
    Hybrid production, the plant’s second hybrid model, by early 2013. The
    Indiana plant added a second production shift in October 2011, creating
    1,000 new positions and doubling the plant’s capacity to 200,000 vehicles
    per year.
  *$166 million at the East Liberty, Ohio, auto plant for a 195,000-square
    foot expansion including new door and instrument panel assembly lines, an
    extended final assembly line and a new vehicle-quality department.
  *$175 million and 100 new jobs at the Russells Point, Ohio, transmission
    plant to increase high-pressure die casting operations and to add a third
    line for production of advanced, efficient continuously variable
    transmissions for the 2013 Accord.
  *$64 million at the Marysville Auto Plant for a 24,000-square foot
    expansion and new metal stamping capabilities
  *$800 million for a new automobile plant in Celaya, Guanajuato, Mexico,
    with an annual capacity of 200,000 units for the production of subcompact
    vehicles. The plant will employ 3,200 associates at full capacity and is
    schedule to begin Honda Fit production in 2014.

In addition to direct investments, Honda also works with approximately 500
U.S. OEM parts and materials suppliers, and purchased $14.4 billion in OEM
parts and materials from U.S. suppliers in 2011. Honda has more than 600 parts
suppliers in North America, with purchases expected to exceed $20 billion this

The 30^th anniversary commemoration began in August with the mass production
start of the all-new 2013 Honda Accord at the Marysville Auto Plant. Better,
not bigger, the completely new ninth-generation Honda Accord lineup includes
the Accord Sedan and Accord Coupe powered by Honda’s new Earth Dreams
technology powertrain series, including direct-injected 4-cylinder, V-6 and
two-motor hybrid powertrains, teamed to new manual, automatic and continuously
variable transmission (CVT) options. An all-new 2014 Accord Plug-in Hybrid
(PHEV) Sedan is scheduled to debut in early 2013, followed by the new
two-motor full hybrid, based on the same powertrain architecture, in later

The first Japanese car built in America – a silver-gray 1983-model Accord
bearing Ohio license plate USA 001 – is on display at the Henry Ford Museum in
Dearborn, Mich.

About Honda

Honda established operations in America in 1959, and now employs more than
26,000 associates in its U.S. sales, manufacturing and R&D operations with a
capital investment of more than $12.5 billion in the U.S.

Based on its longstanding commitment to "build products close to the customer"
Honda operates 14 major manufacturing facilities in North America, producing a
wide range of Honda and Acura automobiles, automobile engines and
transmissions, Honda all-terrain vehicles, and power equipment products such
as lawn mowers, mini-tillers and general purpose engines, using domestic and
globally sourced parts.

Seven Honda auto plants in the region, including four in the U.S., have the
capacity to produce 1.63 million automobiles each year. In 2011, 85 percent of
the Honda and Acura automobiles sold in the U.S. were produced in North
America. This will increase to 1.92 million vehicles per year in 2014, when
the sales percentage of locally produced automobiles is expected to rise to
more than 90 percent.

Honda operates major research and development centers in the U.S. that fully
design, develop and engineer many of the products produced in North America.

Connect to Honda:
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Photos/Multimedia Gallery Available:



Honda North America, Inc., Detroit
Edward Miller, 937-537-1087
Honda of America, Mfg., Inc.
Ron Lietzke, 937-644-6627
American Honda Motor Co., Inc
Jeffrey Smith, 310-781-5062
American Honda Motor Co., Inc.
Jennifer Cody, 310-781-4399
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