Honda To Have More CR-V Production To Ohio
“Our profit structure has improved mainly thanks to robust overseas operations, and the toughest area remains exports from Japan,” Honda CFO Yoichi Hojo told reporters at the automaker’s headquarters. “With a little investment, we would be able to increase production of the CR-V in the United States, so that’s the most probable course of action.”
The current Japanese Yen is trading at around 81-82 to the dollar, which means Honda is losing money on lower-margin models.
Honda produces its strong selling CR-V in numerous locations around the globe. The models that one would see in a United States Honda dealer are usually put together in Sayama, Japan, or East Liberty, Ohio. There was a small chance awhile back for a fourth CR-V production plant in Greensburg, Indiana, but Honda executives decided to focus that plant’s efforts on Civic production only.
The Honda Civic plant is only working at about half capacity at the moment and there is room for expansion. This would ease the pressure off of the plant in Ohio, as it is currently working a full capacity.
In 2010, Honda imported 35,000 Japanese made CR-V models to the United States, with a total of around 75,000 built in that country. Honda currently has the least currency exposure of any other Japanese automaker, including Toyota, Nissan and Subaru.
The first Honda CR-V was built in 1995 and it stands for “Civic Recreation Vehicle”, although Honda sales literature in the United Kingdom reportedly makes references to "Compact Recreational Vehicle", other Honda references cite "Comfortable Runabout Vehicle".
CR-V sales hit a record in 2007, as Honda shifted 219,160 units in the United States. The crossover once again crossed the 200k mark last year, as Honda sold 203,714.