Honda leadership, Ohio lawmakers, and others gathered Monday at Honda Heritage Center in Marysville to celebrate the announcement of a new central Ohio auto plant.
"Today we are taking another historic step. Honda will invest $3 billion to built a new auto plant right here in Ohio," American Honda Motor Co. executive VP Bob Nelson said.
Applause filled the room.
The new plant in Union County will be built between existing Honda facilities in Marysville and East Liberty. Nelson said it will create more than 2,000 new jobs.
Gov. Mike DeWine, who attended Honda's announcement Monday, said that the impact is greater than that and will stretch beyond central Ohio.
"We knew what was at stake when we were talking to Honda it was not just for 2,000 jobs, it was many, many other jobs that would grow over the years in auto suppliers," DeWine said. "You know, Ohio is an auto production state, but it's also a great auto parts state."
Nelson said the plant will be flexible, with the capability to produce gas-powered cars, hybrids, and battery-electric vehicles. It will be able to produce around 240,000 vehicles a year.
The new plant is meant to meet growing customer demand in North America, including increased demand for hybrids.
Nelson told members of the media that 50% of the company's CRVs and 30% of its overall vehicle lineup are now hybrids.
"The market has changed dramatically, and it changed very quickly. Faster than we could catch up, it seemed at times," Nelson said. "But we're quickly developing new products based on the customers, and the hybrid is very popular now for us."
Nelson lauded the planned Union County plant as the "centerpiece" of Honda's broader manufacturing projects in America.
Honda is also increasing capacity at its Alabama auto plant and will begin producing hybrid systems for larger vehicles at the Honda transmission plant in Georgia in the coming years.
Honda selected Ohio for the new auto plant because of the existing supply chain, established workforce, and the proximity to the company's vehicle development operations.
"Ultimately, this investment is about our customers. It will give Honda greater flexibility to build more of the vehicles they want with durability, quality, reliability that they expect from us," Nelson said.
Nelson confirmed that Honda will receive both state and local "incentives" for building in Union County, but neither he nor DeWine elaborated on the details. The company will likely receive tax breaks.
Nelson and DeWine both looked to the Honda's history in Ohio while they spoke about its future. Honda has been producing automobiles in Marysville since 1982. The new plant will be the company's fourth in Ohio.
DeWine said he is the ninth governor to work with Honda. Governor-elect Amy Acton will be the tenth.
"That relationship is going to be strong no matter who the governor is. It doesn't matter whether it's a Democrat or Republican, doesn't' matter who it is. That relationship has stood the test of time for close now to 50 years," DeWine said.
He noted that discussions with Honda for the new plant happened quickly, coming together over the course of the last several months.
The new plant is expected to begin production in 2029, pending government approvals.
