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The automaker says it needs an eighth assembly plant but could change course if the trade agreement is not extended
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Honda $HMC warned Tuesday that it may not build a new assembly plant in North America if the U.S., Canada, and Mexico fail to extend the USMCA free trade agreement, according to Reuters.
Honda Executive Vice President Noriya Kaihara, speaking to reporters at a Washington roundtable, said the company has nearly exhausted its North American production capacity and needs to add a facility — what would be its eighth in the region. "If there is no USMCA agreement in the future, we may have to change our direction," Kaihara said. He said Honda expects to settle on a course of action within the next couple of years, with a target of having any new facility up and running around 2030.
