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Japanese Automakers Preparing for Biggest US Production Expansion in a Decade!

Back in 2011, Japanese automakers lost out a hefty chunk of sales in the US, as a direct result of the devastating earthquake that hit the country. Now, though, they are all planning to win back the lost ground, as well as go beyond it, with what is being called the “biggest wave of North American production expansion in a decade.
Honda Accord PHEV 1 photo
They also aim to beat the dollar-yen exchange rate, which makes importing cars into the US highly unprofitable. Currently, they are unable to keep up with demand, so virtually all the major Japanese players are mulling capacity increases, in order to get things in the correct balance again, especially since the US has been their main market for many years.

Toyota has announced that it is increasing its North American production by 50,000, as they have tasked Mazda to rebadge the Mazda2 (or some other new compact car), which is built in Mexico, at a new plant in Salamanca, which will come online in 2014, and make it for them. Mitsubishi has recently ceased production of four unprofitable models, at their Illinois factory, yet next year they plan to expand that plant’s output - from 50,000 to 70,000 Outlander Sports (ASX in Europe).

Nissan will also be opening a new plant, in late 2013, in Aguascalientes, Mexico, with a production capacity of 175,000, while Honda is building its own Mexican plant, in Celaya, with a capacity of 200,000 units - ready in the spring of 2014.

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