New Auto Plant in Mexico Brings Honda N.A. Capacity to 1.92 Million Units

February 26, 2014

Patrick Ponticel

Honda's new $800 million plant is expected to reach full production of 200,000 vehicles and engines annually by year's end.

In 2013, more than 90% of Honda and Acura automobiles sold in the U.S. were made in North America. With the recent start of production at a new plant in Celaya, Guanajauto, Mexico (about 250 km northwest of Mexico City), that percentage is expected to grow to more than 95%. The $800 million plant is expected to reach full production of 200,000 vehicles and engines annually by year's end. The redesigned MY2015 Fit is now being built at there; production of an all-new compact SUV will begin at the plant (Honda's second in Mexico) late this year. The factory features a number of Honda's most advanced manufacturing technologies, including several that were first introduced last year at the automaker's new Yorii Plant in Japan, to increase quality and efficiency and reduce the plant's environmental footprint. Among them is a high-speed servo stamping press and adoption of a high-speed die change process that increases the efficiency of the stamping process by approximately 40%. In addition, a new three-coat/two-bake, water-based painting process (replacing the traditional four-coat/three-bake process) reduces the amount of energy consumed in the painting process by approximately 40% while enhancing paint finish quality, according to Honda. A new factory for continuously variable transmissions is under construction on the same site as the new assembly plant.