Honda Builds 1 Millionth Automobile for Export From U.S.
Honda Builds 1 Millionth Automobile for Export From U.S.
-- Honda Will Become "Net Exporter" from North America in Two Years --
-- Marysville, Ohio Auto Plant Began Building Vehicles for Export 25 Years Ago --
MARYSVILLE, Ohio--(BUSINESS WIRE)-- Twenty-five years after the first U.S.-made Honda automobile was exported to overseas markets, associates at the company's Marysville Auto Plant today marked production of the 1 millionth Honda automobile to be exported from the U.S. The silver 2013 Honda Accord EX-L Sedan will be shipped to South Korea.
American Honda President Tetsuo Iwamura and Jim Burrell join Tyrone Moore, Hide Iwata, Jeff Tomko and over 500 other Honda of America Manufacturing, Inc. associates to commemorate the production of Honda's 1 millionth U.S. export vehicle - a Honda Accord EX-L - headed to Seoul, South Korea. (Photo: Business Wire)
Within two years, Honda will become a "net exporter" of automobiles from North America - exporting more vehicles built in its auto plants in North America than it imports from Japan - as these local production operations take on a larger responsibility for the introduction of global automobiles sold in multiple countries.
"Quality for the world, made in America, has been an important Honda commitment for the past 25 years," said Takanobu Ito, president & CEO of Honda Motor Co., Ltd., in a video message to the gathering. "In the coming years, we will take on the challenge of helping even more customers around the world enjoy Honda products made in the USA."
Since 1987, Honda has exported more than $22 billion worth of automobiles and components from the U.S. This includes its exports of finished vehicles as well as component parts sets from suppliers in the U.S. that are used to produce automobiles at Honda plants overseas.
The export milestone Accord Sedan that rolled off the assembly line in Marysville, Ohio, now embarks on a more than 8,000-mile journey across the United States to Port Hueneme in Southern California, and then across the Pacific Ocean to Seoul, South Korea, where the company recently began sales of its U.S.-made vehicles. Honda currently exports automobiles to more than 40 countries (Honda does not include shipments from the U.S. to Canada as exports), with total exports expected to reach nearly 100,000 Honda and Acura vehicles from the U.S. in 2012.
Honda recently marked its 30th anniversary of producing automobiles in America, becoming the first Japanese carmaker to make automobiles in America on Nov. 1, 1982. Five years later, Honda became the first international automaker to export U.S.-made automobiles to overseas markets when it began shipping Ohio-made Accords to Taiwan in fall 1987. A year later, Honda exported its first U.S.-made Accord Coupe to Japan.
With an investment of more than $2.2 billion in its North American operations over the past two years, Honda will increase automobile production capacity in North America from the current 1.63 million to 1.92 million units per year in 2014. As a result, in the coming years, annual exports of Honda and Acura automobiles from the U.S. are expected to far surpass the company's previous single-year export record of 105,511 vehicles set in 1994.
Every Honda auto plant in North America builds cars and trucks for export to global markets, including operations in Ohio, Alabama and Indiana. Exported models include the Honda Civic, Accord, CR-V, Pilot, Odyssey, Crosstour and Ridgeline and the Acura ILX, TL, RDX and MDX. Further, many of the vehicles exported from the U.S. were designed and developed in the U.S. by Honda R&D Americas.
Honda currently exports automobiles to more than 40 countries from the U.S. through seven port facilities in three states:
- Port Hueneme, Calif.
- Jacksonville, Miami and Tampa, Fla.
- Brunswick, Ga.
- Baltimore, Md.
- Newark, N.J.
The one million automobiles exported from America represents a value of $19 billion dollars since the first export to Taiwan in 1987. Further, the cumulative export of component parts sets is valued at more than $3.24 billion.
In addition to the export of automobiles and automobile parts, American Honda also exports power sports (ATVs) and power equipment products made at Honda's U.S. plants to overseas markets:
- Cumulative exports of power sports products from the U.S., including ATVs now produced in Timmonsville, S.C., total more than 500,000 units, since 1980.
- Cumulative exports of power equipment products from the U.S., including lawn mowers, general purpose engines, surpassed the 2 million-unit mark in 2012, since the start of power equipment production in Swepsonville, N.C. in 1984.
A complete, year-by-year history of Honda's automobile, power sports and power equipment exports can be found in the Honda Digital FactBook. To see a video about Honda's U.S. manufacturing and export efforts, please click here.
Honda established operations in America in 1959, and now employs more than 26,000 associates in its U.S. sales, R&D and manufacturing operations with a capital investment of more than $12.5 billion.
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 Honda produces in North America.
Connect to Honda:
Honda Multimedia Newsroom (for media only): http://www.hondanews.com
Honda of America Mfg., Inc. (Press Room): www.ohio.honda.com
Honda News & Views: http://www.honda.com/news
Honda in America: http://www.hondainamerica.com
Honda on Twitter: http://www.twitter.com/americanhonda
Honda of America Mfg. on Twitter: http://www.twitter.com/hondamfgohio
Honda on Facebook: http://www.facebook.com/honda
Honda on YouTube: http://www.youtube.com/honda
Honda on Flickr: http://www.flickr.com/hondanews
Honda Website: http://www.honda.com
American Honda Motor Co., Inc.
Jeffrey Smith, 310-781-5062
Honda of America, Mfg., Inc.
Ron Lietzke, 937-644-6627
Honda North America, Inc., Detroit
Edward Miller, 313-202-3150
KEYWORDS: United States Asia Pacific North America Ohio South Korea Japan
The article Honda Builds 1 Millionth Automobile for Export From U.S. originally appeared on Fool.com.Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.