Joined Nov 2008
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Interwebbernet
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This article comes from AsphaltandRubber.com
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Honda Motorcycles has announced that it is closing its Marysville, OH manufacturing plant, home of the Honda Goldwing production line. Over 1 million Goldwings have gone through Marysville since it opened in 1979, and Goldwing owners will likely be distraught that production is being moved back to the mothership in Japan.
Since we only have two Goldwing readers on A&R (Sup Graddy!), the real important news from this announcement is that all Honda motorcycles destined for the United States from this point forward will be imports, in what can only be a move by Honda to reduce production costs on the popular motorcycle.
This shift in manufacturing placement shows the rising costs of manufacturing in the US. Honda will likely still source parts from Taiwanese, Korean, and Chinese partners, with final assembly occurring in Japan. Despite the need to then export a majority of their vehicles back into the US (one of Honda’s largest markets), the added costs of shipping are greatly outweighed by the reduced cost in manufacturing.
This move is just one of many signs at the increasingly global nature of our industry, and shows the financial hurdles that companies like Harley, Buell, etc face by producing American motorcycles on American soil.
The closing of the Marysville plant comes just on the heels of Honda celebrating 50 years in America. Apparently they like round numbers, and didn’t want to shoot for 100.
Source: PowerSports Business & AutoBlog
Visit Asphalt & Rubber for more articles like this one
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This article comes from AsphaltandRubber.com
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Honda Motorcycles has announced that it is closing its Marysville, OH manufacturing plant, home of the Honda Goldwing production line. Over 1 million Goldwings have gone through Marysville since it opened in 1979, and Goldwing owners will likely be distraught that production is being moved back to the mothership in Japan.
Since we only have two Goldwing readers on A&R (Sup Graddy!), the real important news from this announcement is that all Honda motorcycles destined for the United States from this point forward will be imports, in what can only be a move by Honda to reduce production costs on the popular motorcycle.
This shift in manufacturing placement shows the rising costs of manufacturing in the US. Honda will likely still source parts from Taiwanese, Korean, and Chinese partners, with final assembly occurring in Japan. Despite the need to then export a majority of their vehicles back into the US (one of Honda’s largest markets), the added costs of shipping are greatly outweighed by the reduced cost in manufacturing.
This move is just one of many signs at the increasingly global nature of our industry, and shows the financial hurdles that companies like Harley, Buell, etc face by producing American motorcycles on American soil.
The closing of the Marysville plant comes just on the heels of Honda celebrating 50 years in America. Apparently they like round numbers, and didn’t want to shoot for 100.
Source: PowerSports Business & AutoBlog
Visit Asphalt & Rubber for more articles like this one
