Honda-The Power of Dreams
Honda America Passes 7 Million-Automobile Production Milestone

Torrance, California, April 14, 1998 --- Honda North America Inc., the US holding company belonging to Honda Motor Co., Ltd., today announced from its head office in Torrance, California that in March Honda achieved cumulative automobile volume production in North America (covering the United States and Canada) of 7 million vehicles.

Honda first began manufacturing automobiles locally in the United States back in 1982 at a plant in Marysville, Ohio, production being the responsibility of Honda of America Manufacturing Inc. By 1985 Honda had become the 4th biggest automobile manufacturer behind the Big Three. In 1986, Honda of Canada Manufacturing began producing Civics at its plant in Alliston, Ontario. From then onwards, as well as starting up new plants to produce automobile engines, Honda has gradually expanded its North American manufacturing operations. Currently, Honda has three plants across the USA and Canada making finished automobiles, and one each producing engines and transmissions, and 70% of the Honda vehicles sold in North America are made locally. Honda's annual production figures for automobiles (excluding trucks) rank it third among North American automakers.

Alongside its manufacturing operations, ever since the second half of the 1980s Honda has built up its North American R&D, engineering and purchasing capabilities. Honda vehicles are now developed and mass-manufactured wholly within, and for, the North American market, and the local parts procurement rate averages well over 90%. In addition, from 1987 onwards, Honda began exporting vehicles made in North America, mainly back to Japan. To date, Honda has exported around 500,000 vehicles from North America to over 90 countries around the world. From development through to manufacturing, Honda's North American operations are now very much a separate entity.

Last year Honda manufactured 813,000 4-wheeled vehicles in the United States and Canada, while at the same time planning to further expand capacity to meet ever-increasing demand. In autumn 1998, HCM will commence operations at its second production line. By 2001, Honda plans to possess a total annual manufacturing capacity of nearly 1.01 million 4-wheeled vehicles in North America. The total net investment by Honda in its North American operations now exceeds US$ 4 billion, and the various companies in North America directly employ over 20,000 people.

Cumulative production statistics for Honda in North America

Marysville Plant East Liberty Plant US total (HAM) Canada (HCM) North America total Cumulative production total
1982 968
968
968 968
1983 55,337
55,337
55,337 56,305
1984 138,578
138,578
138,578 194,883
1985 145,337
145,337
145,337 340,220
1986 238,159
238,159 477 238,636 578,856
1987 324,064
324,064 15,659 339,723 918,579
1988 366,355
366,355 49,910 416,265 1,334,844
1989 362,264 87 362,351 86,594 448,945 1,783,789
1990 383,197 52,240 435,437 105,959 541,396 2,325,185
1991 356,967 94,222 451,189 99,150 550,339 2,875,524
1992 341,924 116,327 458,251 104,123 562,374 3,437,898
1993 283,038 120,737 403,775 100,621 504,396 3,942,294
1994 360,591 138,119 498,710 108,308 607,018 4,549,312
1995 393,629 159,420 553,049 106,133 659,182 5,208,494
1996 424,462 209,912 634,374 144,482 778,856 5,987,350
1997 415,588 232,680 648,268 165,181 813,449 6,800,799
1998(January-March) 119,552 62,426 181,978 43,475 225,453 7,026,252
Cumulative production total 4,710,010 1,186,170 5,896,180 1,130,072 7,026,252