Honda To Prep Plants For EVs, Will Move Accord Production To Indiana

Honda's plan to build its "EV Hub" in Ohio is beginning to take shape. Last year, the automaker announced it would invest $700 million to prepare three factories to make electric vehicles. We now have more details about Honda's effort, which includes moving Accord production to Indiana.

Honda currently produces the popular Accord sedan at its Marysville, Ohio, factory. The automaker will consolidate two production lines at the location, allowing it to begin building the infrastructure needed for EV production.

Gallery: 2023 Honda Accord First Drive Review

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This transformation will begin as soon as January 2024, with the automaker transferring Accord production to its Indiana Auto Plant sometime in 2025. Honda will maintain the Accord's production volume at its new factory.

Changes are also coming to Honda's Anna Engine Plant. The factory will transfer engine production to the company's Alabama Auto Plant by August 2023, freeing up space at AEP to produce battery cases for EVs one day. In Georgia, the automaker will dedicate one assembly line at its transmission plant for e-axle production, which a Honda supplier will install, own, and operate.

Honda's "EV Hub" will involve the Marysville Auto Plant, East Liberty Auto Plant, and the Anna Engine Auto Plant. The automaker's new battery production facility will be at the hub's heart. The company established a joint venture with LG Energy Solution to build the factory in Ohio, which should be completed by the end of 2024.

Earlier this month, Honda said it plans to invest at least $40 billion through the decade's end to increase hybrid and EV sales. The company hopes that electrified vehicles can account for 40 percent of its sales by 2030.

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Honda is off to a slow start compared to its competitors. The company's new Prologue electric vehicle comes from its partnership with General Motors. The EV rides on GM's Ultium platform and uses the Detroit automaker's batteries.

The changes coming to Honda's auto plants shouldn't disrupt staffing levels. The company "expects to maintain employment stability across all locations during these key next steps in the transition." Starting this year, employees at its Marysville location will begin learning the skills required for EV production.