Honda subsidiary Yutaka Technologies began construction on a transmission component factory in Cullman, Alabama in January. The plant will employ about 200 people and is part of a larger strategy to build several component-supplier factories to feed Honda's US manufacturing plants. There's new facilities going up in Georgia and Ohio in addition to the Alabama plant. The Cullman plant will start supplying torque converters and exhaust components to Honda's Lincoln, Alabama assembly plant in November. The Lincoln plant builds the Odyssey minivan and Pilot SUV, and Honda is shifting more Pilot production to the Alabama plant from its Ontario facility.
While many think of Honda as a foreign brand, their cars are often no more foreign than the domestics. Building US-market cars in this country has been a winning proposition for Honda and the other foreign marques that have opened facilities here. Keeping US workers employed takes some of the teeth out of the "Buy American" argument. Also, astronomical shipping costs (we wouldn't want to get the bill to insure one of those shipments, let alone the actual freight cost) and import tariffs are also dodged by building cars here with parts sourced domestically. Honda has been building automobiles in the US for 25 years and the company employs over 30,000 people at their 12 manufacturing US facilities, which build everything from cars to ATVs and watercraft.

[Source: Honda]

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