Japanese automaker Honda said it plans to sustain current internal combustion engine (ICE) and hybrid-electric vehicle production in order to continue to meet anticipated strong customer demand through 2030 and beyond. The sustained success of ICE and hybrid-electric vehicle sales also will support the required investment in the electrified future, the company said.

However, Honda said its vision is to produce and sell 100% battery-electric and fuel cell electric vehicles by 2040, as part of its goal to achieve carbon neutrality for all products and corporate activities by 2050.

On March 14, 2023, the company, which has been producing automobiles in America for more than 40 years announced key next steps in establishing its electric vehicle (EV) hub in the U.S. state of Ohio that will lead its journey to an electrified future in North America. 

In October 2022, Honda announced that it would invest USD700 million to retool several of its existing auto and powertrain plants to establish the new EV Hub, in preparation for the production of battery electric vehicles (BEV) in 2026. The Marysville Auto Plant (MAP), where Honda began automobile production in North America in 1982, will be Honda’s first auto plant in the U.S. to transition to making EVs.

As part of the EV Hub in Ohio, Honda will transform its Marysville Auto Plant, East Liberty Auto Plant (ELP) and Anna Engine Plant (AEP), leading to the start of EV production in North America. This EV Hub will play a key role in developing the company’s knowledge and expertise in EV production that will be shared across Honda’s entire North American auto production network in the coming years, even as many Honda plants continue production of gasoline-powered vehicles.

Each Honda auto production facility in North America will have a critical role to play in Honda’s electrification strategy, the company said. Honda said it expects to maintain employment stability across all locations during this transition.

In 2022, more than two-thirds of all Honda and Acura automobiles sold in the U.S. were made in America, using domestic and globally sourced parts. Honda’s cumulative auto production in America now exceeds 30 million vehicles. 

Honda established manufacturing operations in America in 1979 with the start of motorcycle production in Marysville, Ohio, and today has one of the largest and most diverse U.S. manufacturing footprints of any international company. The company’s 12 plants employ more than 22,000 associates in America, supporting operations that have an annual capacity of more than 1.27 million automobiles, 1.52 million engines, 500,000 power equipment products and 300,000 powersports products, as well as the HondaJet advanced light jet and GE Honda HF120 turbofan engines.

Cumulatively, Honda has invested USD19 billion in its U.S. manufacturing operations, including more than USD3.2 billion over the past five years alone. The company also works with more than 600 U.S. original equipment suppliers, with U.S.-sourced parts purchases of approximately USD470 billion since 1979.