Honda Investing $52M To Expand Production In Indiana

Honda Manufacturing of Indiana, LLC (HMIN) will invest $52 million in its Greensburg, IN facility in order to enhance job training and add production of the Honda CR-V. The company will create up to 100 new jobs by the end of 2016 to support the new line.

Honda Indiana

“This new investment in our Indiana facility will enhance our manufacturing flexibility and better position Honda to meet customer demand for our lineup of fuel-efficient passenger cars and light trucks,” said Bob Nelson, president of HMIN. “Honda is committed to delivering products like the Civic and CR-V that provide outstanding quality and value to our customers, and our associates are key to this success. Our associates are our foundation and this new training facility will provide them with the opportunity to grow and develop their skills.”

HMIN will invest approximately $40 million to enhance the manufacturing flexibility and production capabilities of its existing 1.3 million-square-foot plant in order to add production of the Honda CR-V in early 2017 while maintaining production of the Honda Civic Sedan. The CR-V was Honda’s second-highest selling model in the United States in 2015.

In addition to the CR-V, HMIN will invest an additional $12.37 million toward its new 20,000-square-foot Associate Resource Center (ARC), which is a career development facility designed to promote the enhancement of HMIN associate manufacturing skills. HMIN will offer more than 1,000 self-guided e-learning classes that range from Honda-specific training to universal skills training.

HMIN, which began production of the Civic in 2008, is the Japanese automaker’s fourth auto plant in the United States. Since 2006, HMIN has invested more than $900 million in Indiana and now employs more than 2,300 associates. Average salaries of new positions will be higher than the state’s average wage.

HMIN manufactures automobiles primarily for the U.S. market, and for export to markets outside of North America. The facility has the capacity to produce 250,000 vehicles and last year it sourced more than $2.4 billion in OEM parts from 57 suppliers, including 18 in Indiana. HMIN maintains one of the lowest environmental footprints of any automobile plant in Honda’s global production network.

The Indiana Economic Development Corporation offered up to $860,000 in conditional tax credits and up to $140,000 in training grants based on the company’s job creation plans. These incentives are performance-based, meaning until employees are hired, the company is not eligible to claim incentives. The city of Greensburg supports the project at the request of the Greensburg Decatur County Economic Development Corporation.

“Honda has been a great partner to the state of Indiana from the moment the company announced plans to establish a facility in Greensburg in 2006,” said Governor Mike Pence. “I have had the pleasure of meeting with the company’s leadership here in the United States and in Japan, and I am proud that they have once again chosen Indiana for growth. The automotive industry in Indiana supports more than 100,000 Hoosier jobs, and that number will continue to grow thanks to the commitment of companies like Honda.”

Indiana’s automotive industry ranks No. 2 in the nation by gross domestic product and contributes more than $15 billion to the state’s economy each year. The state is home to more than 500 automotive companies, including five OEM assembly plants, which together support more than 100,000 jobs. Indiana ranks third in the United States for car and truck production, with more than 5.1 million vehicles produced since 2010.

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