While Honda's Chinese subsidiary is busy recalling more than half a million vehicles, Honda USA will be working on a new Indiana plant that will cost more than half a BILLION dollars. Coincidentally, both projects are scheduled to begin March 19. That's when Honda will break ground on its new $550 million facility in Greensburg, Indiana. Today it was announced that the plant will inititally build the Civic and be good for an additional 200,000 units annually. The new facility will additionally employ up to 2,000 workers.
Although a Honda spokesman, David Iida, had no comment, experts seem to agree that the Civic will be the only car on the plant's menu for some time. "My strong belief is that Civic will be the first and primary product, and that more will follow after that," said Alan Baum, director of automotive forecasting for Birmingham, Mich. based Planning Edge. Although Civic sales were down last year, we told you earlier that Honda felt it was because of a lack of supply rather than demand. Honda's immediate move was to add Civic production to its Alliston, Ontario, plant. The East Liberty, Ohio plant will likely continue on as a source of Civics, as well.

[Source: Automotive News]

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