New Plant For Honda Fit in Mexico.

1:45 PM 4/1/2012.

Japan's Honda Motor Co already had started the ground work for their new plant near Celaya in the Guanajuato state in central Mexico. Honda President Takanobu Ito said that Mexico was selected to build their assembly plant as it got promising local auto market and the high labor quality. Also there are plenty of auto parts manufacturers are operating in that country.

The other reason for the selection of Mexico is that it is a member in the North American Free Trade Agreement with United States and Canada and it got a tariff-free automobile trade pact with Brazil.

The new factory is expected to start its production by the year 2014. Honda expected to produce 200,000 Fit cars per year for the USA and Brazil auto market to keep its growing market in these countries.

They had planed to invest US$800 million to this second Honda factory where they will hire and train 3,200 people to work in the assembly line to catch with the production target.

Also the Honda is aiming to open a new plant over there with 400,000 out put level if the market seems promising in the coming year.

Honda is currently producing nearly 1.63 million vehicles in the North American region. Mean while the Honda company produces the Fit model in Japan for the North American Market and once the Mexico production line is ready that Fit production will be switched over here..

Mean while Mazda Motor Corp. too had begun their new plant in Salamanca, also another one in Guanajuato, Mexico. Nissan Motor Co. too got its own plan to make its plants in Mexico.

Honda's ground breaking event was witnessed by the Mexican President Felipe Calderon too.