Corporate / North American Operations
Honda to Invest $84 Million and Add 100 Jobs to Increase Annual Production to 340,000 Vehicles and Engines
Honda Manufacturing of Alabama, LLC (HMA) marked its 10th anniversary of the start of production by announcing today that it would invest an additional $84 million, hire 100 new full-time associates and increase annual production capacity to 340,000 vehicles and engines. Alabama Gov. Robert Bentley and other local and state officials helped Honda associates celebrate the 10-year milestone.
Combined with previous investments announced earlier this year, Honda is investing a total of $275 million and adding 140 total jobs to increase manufacturing flexibility and production capacity in Alabama. The newest $84 million investment is tied to the addition of the Acura MDX luxury sport utility vehicle to the company’s existing production lineup of the Honda Odyssey minivan, Honda Pilot SUV, Honda Ridgeline pickup truck and the V-6 engines that power each vehicle.
“Numbers and milestones measure results, but it is our people – our Honda associates – who are the driving force in all of our accomplishments in Alabama,” said Tom Shoupe, HMA president. “This new investment in our Alabama facility will enhance our production flexibility and better position Honda to meet customer demand for our lineup of fuel-efficient passenger cars and light trucks.”
HMA began production with the Honda Odyssey on Nov. 14, 2001. With today’s announcement, HMA’s annual production capacity will increase by 40,000 units to 340,000 vehicles and engines by 2013. Honda’s cumulative investment in its Lincoln facility will total more than $2 billion by 2013. HMA employs more than 4,000 associates.
The $84 million investment will add a third stamping line to the existing two stamping lines which have the capability to produce vehicle body parts of both steel and aluminum. The more than $190 million in investments HMA announced earlier this year includes construction and equipment investments to improve manufacturing flexibility and production capacity.
Honda opened its first auto plant in the U.S. in 1982, in Marysville, Ohio, and today has the capacity to build 1.63 million automobiles at its seven auto plants in North America. In 2010, more than 87 percent of the Honda and Acura products sold in the U.S. were built in North America, using domestic and globally sourced parts. Last year, Honda purchased more than $17.5 billion in parts and materials from more than 600 North American suppliers.