Honda is planning a major Ohio expansion as it shifts its future lineup toward larger hybrid SUVs.
Honda is planning a major expansion of its manufacturing footprint in North America, with the automaker negotiating with officials in Ohio over incentives for a new vehicle assembly plant.
The proposed facility would be designed primarily to build larger crossovers and SUVs with hybrid powertrains. Construction could begin in 2027, with production expected to start later in the decade.
The move comes as Honda reshapes its electrification strategy in North America. The automaker has scaled back plans for some battery-electric vehicles as it responds to changing market conditions and stronger demand for larger hybrid models.
North America remains Honda's most important global market, accounting for roughly 40% of the company's worldwide sales. A new high-capacity assembly plant would give Honda additional flexibility as it expands production of larger vehicles for American buyers.
The facility is expected to be located near Honda's existing manufacturing operations in Ohio, which could simplify logistics and the movement of components between plants.
Honda has not yet disclosed the complete model lineup planned for the proposed facility. Future Acura SUVs have been mentioned as possible candidates, while Honda could also use the additional capacity for larger family-oriented vehicles.
The potential expansion reflects a broader shift in Honda's North American strategy. Rather than relying entirely on battery-electric vehicles for future growth, the automaker is increasing its focus on hybrids while continuing to develop its next generation of electrified vehicles.
For U.S. buyers, the strategy could eventually mean more hybrid choices in the large-SUV segment, where three-row crossovers and family vehicles remain an important part of the American market.