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Honda invests $470 million for new transmission plant in Mexico

Honda has announced that it has made an initial investment of $470 million to build a brand new transmission plant in Ceyala, Mexico. For those keeping track, this is the same city that will also house Honda's new automobile manufacturing facility, which will begin production of the Fit compact beginning in the spring of 2014.
This new transmission plant is expected to come online in the second half of 2015, with an annual production capacity of 350,000 units, though that number is expected to double in the years following the plant's opening. With a 700,000-unit production capacity, Honda says a full 1,500 new associates will be hired at the Mexican plant.
Honda will specifically use this new transmission plant for the production of CVTs for automobiles built in Mexico, as well as for cars produced in facilities around the world. It stands to reason, then, that since the next-generation Honda Fit will be built right around the corner from these new CVTs, the small hatchback - which is expected to grow into a full family of vehicles - could be fitted with continuously variable units in the future.

Honda thumbs nose at fleet sales, claims it leads in key vehicle segments

Fleet sales are a way of life in the automotive industry. There are many non-retail customers that need vehicles, but going too far can reduce brand image and vehicle resale value. While some of its competitors have fleet sale that account for up to 20 or 30 of overall sales, Honda is bragging that it has the lowest fleet sales of all mainstream automakers for the first five months of 2013.
After calculating new-car registration data from R.L. Polk, Honda says that just two percent of its sales through went to fleet customers compared to an industry average of 19 percent. Even though this means Honda leaves plenty of sales on the table each month, it also claims to have the highest resale value and lowest cost of ownership among its competitors. In terms of retail sales, Honda says that the Civic, Accord, CR-V and Odyssey all lead their respective segments, and it breaks down/brags about its retail sales success in the press release, which is posted below.

Honda's Acura NSX masterstroke: building the factory in Ohio

When Honda announced it was going to build its NSX supercar in Ohio instead of Japan, it caught everybody in the industry by surprise. No one expected this proud Japanese company to build its most technologically advanced sports car anywhere but in its home country. Now Honda has a supercar production facility in rural Ohio that would be the envy of any Formula One team. The people at Honda call it the PMC, but its official name is the Performance Manufacturing Center. It's a building that started out as a shipping facility for suppliers, but Honda invested $70 million to transform it into a showcase facility that will build the NSX. Honda benchmarked the assembly operations at Ferrari, Lamborghini, McLaren, and Bentley before work began on its facility. The 200,000 square-foot building will also double as a customer reception center – Honda will open the doors for customers to come see their car being built. It's also going to offer them high-speed test drives at the gigantic Transportation Research Center just down the road. No one expected this proud Japanese company to build its most technologically advanced sports car anywhere but in its home country. Inside, the layout is wide open and well lit. There are no stripes or lines on the floor and none of the different departments are walled off. This creates a more welcoming appearance and lets you get a comprehensive view of the entire process at a glance. And with an eye towards future lessons learned, most of the equipment is of a modular design that can be easily reconfigured or moved. The body shop and paint shop are enclosed by glass walls so that anyone can see what's going on inside. And while you'll see some automation here and there, the idea was to achieve a blend between man and machine, not to try and automate everything. This is a low-volume facility with production targeted at only eight to ten cars a day. The plant runs four days a week with one ten-hour shift. Don't expect to see rows of new NSXs parked on any dealer's lot. The car will only be built to order. Honda is obsessed with ensuring the NSX is built to the most exacting quality standards. The plant people pored over the JD Power Appeal study to determine what supercar customers care about the most, then looked at which aspects of that directly tie into manufacturing. They developed their quality control strategy with three goals in mind. First, they wanted to build everything right the first time with no adjustments.