Honda has announced its plans to shift the production of its Accord model from its Ohio factory, where it has been built since 1982, to its Indiana Auto Plant in Greensburg by 2025. The move comes as part of the company’s broader strategy to transition to electric vehicles (EVs) and consolidate its production facilities.
The Marysville plant was the first Japanese automaker plant to open in the United States, and it has produced over 12.5 million Accords to date. However, as Honda prepares for the future, it will be retooling the facility for EV production in early 2024, consolidating internal combustion engine (ICE) and hybrid vehicle production into one assembly line.
Honda has not yet revealed which electric model it will be building in the Marysville plant, but it plans to launch the Honda Prologue and Acura ZDX electric SUVs next year. The automaker is creating an EV Hub in Ohio, which includes a joint venture with LG Energy Solution to build a $4.4 billion battery plant in Jeffersonville. This move will allow Honda to qualify for the federal tax credit program laid out in the Inflation Reduction Act, which requires local assembly of battery packs.
See also: Honda to build $3.5 billion battery production base in Ohio
To support its transition to EV production, Honda is also moving internal engine component production from its Anna, Ohio plant to a factory in Alabama. It will then repurpose the Anna facility to build parts for electric vehicles.
Honda has committed to having a fully electric lineup by 2040, but it will continue to invest in ICE models to meet 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 in a statement.
The shift of Accord production from Ohio to Indiana marks the end of an era for the Marysville plant. However, as Honda prepares for the future of mobility, it is taking the necessary steps to ensure that it remains competitive and relevant in the rapidly changing automotive industry.
