Honda Motor Company announced a $300M increase in investments in three auto manufacturing plants in Ohio and plans to invest $4.4 billion in a joint venture (JV) plant in its efforts to begin EV production in late 2025.
Honda originally announced plans in 2022 to invest $700 million in facilities in Ohio, a figure that has since been revised to $1 billion. The investment will go to Honda’s Marysville, East Liberty, and Anna plants, all named after their respective locations in Ohio. This investment seeks to expand these plants by enabling electric, hybrid, plug-in hybrid, and internal combustion (IC) engines to be produced on the same assembly line. Honda’s efforts are not limited to improving existing facilities, as demonstrated by its collaboration with the leading global manufacturer of lithium-ion batteries, LG Energy Solution (LGES). Honda formally established L-H Battery Company on January 13, 2023. Production of lithium-ion batteries are projected to begin at the new JV battery plant in Fayette County, Ohio, by the end of the year. The company’s total investment in the EV hub is estimated to cost $4.4 billion.
Honda began manufacturing motorcycles in 1972 in the United States before expanding into automobiles in 1982, both at the Marysville Auto Plant in Ohio. Now, the company has 12 manufacturing plants nationwide, producing over 30 million vehicles, maintaining one of the largest US manufacturing footprints of any international company. As of 2024, Honda has invested $19 billion in its US manufacturing operations and has purchased approximately $492 billion worth of US-sourced parts. Executive Chief Engineer and Honda EV Hub Lead Mike Fischer, in a statement issued by Honda, explained that the EV Hub in Ohio “is creating an approach to EV production that will serve as the foundation for Honda operations throughout North America and globally.” Jennifer Thomas, the senior vice-president of Honda’s US unit, says that the flexibility to produce differently powered vehicles on the same production lines in Ohio would “enable [them] to quickly respond to changes in customer demand and market conditions.” The joint venture has committed to investing $3.5 billion in the battery plant in Fayette County and creating 2,200 jobs.
Japan has created more jobs in Ohio than any other international investor with more than 65,000 Ohioans employed at 435 Japanese-owned facilities. Honda alone employs over 11,000 people across its Ohio facilities, making it the largest Japanese employer in the state. As such, it plays a crucial role in strengthening business cooperation between the Midwest and Japan. Last year, Honda served as the title sponsor for the annual Midwest US-Japan (MWJA) Conference, which brought together over 300 elected officials and business leaders from ten Midwestern states and Japan to promote trade and investment in the region. The Midwest and Japan take turns hosting the conference each year, with this year's meeting set to take place in Tokyo from September 7th to 9th.
Nanami Nishimoto is a Spring 2025 Young Professional at the East-West Center in Washington. She is a graduate student at Virginia Tech’s School of Public and International Affairs (SPIA) with a B.A. in International Studies, majoring in IR and minoring in German.