Honda is adjusting North American production of the HR-V and CR-V models, according to media reports. The CR-V is currently built at three Honda plants in North America: Alliston, Ontario, Canada; East Liberty, Ohio, United States; and El Salto, Jalisco, Mexico. However, the automaker plans to shift production of the CR-V from the plant in Mexico to the company's plant in Greensburg, Indiana, US. The move will create additional capacity for the strong-selling HR-V. Production of the HR-V, currently built in Celaya, Guanajuato, Mexico, will be added to the El Salto plant's output.
Significance: According to the IHS Automotive production forecast, this production shift will happen this year. The move is forecasted to increase Honda's production of the HR-V by nearly 60,000 units per annum (upa). Production of the CR-V at Greensburg is also forecasted to be around 60,000 upa. Overall, Honda's North American production of the HR-V is forecasted to increase from 99,000 units in 2015 to about 172,000 units in 2018. Production of the CR-V is forecasted to largely remain at around 440,000 upa. However, North American production of both vehicles is expected to contract temporarily in 2019 and 2020, as the markets see some decline in sales during that period.
