Honda's Innovative Green Engine Plant Powered by Canadian Talent
The recent expansion of Honda of Canada Manufacturing's (HCM) facilities in Ontario brings state of the art green technology to Canadian manufacturing. The new engine plant in Alliston, 80 kilometres north of Toronto, manufactures engines from 100 percent recycled aluminum, much of it sourced from nearby communities. The new, 28,000 square-metre engine plant sits alongside two existing assembly facilities and reflects not only the growing economic partnership between Honda and Canada, but the advancement of their shared environmental priorities.
As Canada seeks opportunities for its skilled workforce while simultaneously preserving the environment, Honda continues to provide solutions through innovation and new technologies. Honda Motor Company Chairman Satoshi Aoki says, "At the same time that we increase our economic footprint in Canada, we have been working hard to reduce our environmental impact."
A History of Success
The expansion of the Alliston operation is the latest chapter in Honda's long and successful partnership with Canada. In 1986, HCM became the first Japanese automobile manufacturer to establish a production facility in Canada; in 1995, HCM became one of the first automobile manufacturers in North America to receive ISO 9002: 1994 certification; in 1998, HCM received ISO 14001 certification for environmental management and opened a second plant. Alliston's Plant 1 currently produces the Acura CSX Sedan and the Civic Sedan, SI and Coupe, while Plant 2 produces the Civic Sedan and Acura MDX sport-utility vehicles. In 2008, 48 percent of all Honda vehicles sold in Canada were produced at HCM in Alliston.
The Alliston complex is one of Honda's premier manufacturing facilities and represents a total investment worth more than $2.6 billion. The site employs more than 4,200 people, produces approximately 290,000 vehicles annually, sources close to $1.4 billion in goods yearly from Canadian suppliers, and manufactures parts for Honda plants across North America. Proximity to markets and suppliers, a highly educated and skilled workforce, a stable investment climate and modern infrastructure have all supported the growth of HCM operations in Canada.
Growing Together
The Alliston engine plant began operations in September 2008, producing fuel-efficient 4-cylinder engines for the Honda Civic. It is the result of a $154 million investment.
"This investment is great news for families and businesses in Alliston," says Ontario Premier Dalton McGuinty. "Honda knows that Ontario's workforce is among the most productive in the world and our health-care system helps give investors the stable business costs they're looking for."
"I really appreciate the strong relationship between our company and Canadian society, both through the levels of government and our many customers," says Manabu Nishimae, President and CEO of Honda Canada. "Through investments like this engine plant, Honda hopes that we will continue to grow as a company that Canadians want to exist, now and into the future."
Glocalization: Growing in Step With Local Communities
In 1946, Honda began as a small local company with a global dream. Today they map their future as a global company with a local vision, a concept they call 'glocalization.'
"All around the world we build our products close to our customers," explains Mr. Nishimae. "This allows us to become part of their community and helps us anticipate and meet their needs."
The Alliston engine plant is an excellent example of glocalization. The fuel-efficient, low-emissions engine that powers the Honda Civic is manufactured and assembled in energy-efficient, low-emissions facilities. Both product and process reflect the environmental priorities not only of the manufacturer, but also the community. This synchronicity may well contribute to the Honda Civic's record as Canada's number-one selling vehicle in 2008 and the number-one selling passenger car for the last 11 consecutive years.
Partners in Innovation and Environmental Leadership
From Nova Scotia to British Columbia, Honda's deep investment in Canada generates $12.5 billion in annual sales and employs more than 21,000 Canadians. The HCM engine plant in Alliston is another milestone in Honda's amazing Canadian success story.
"Strong support has come from so many directions, including the federal and provincial governments, the local community, our suppliers in Canada, our associates, our dealers, and, of course, our customers," says Honda Motor Company Chairman Satoshi Aoki. "Based on this partnership and through our continued investment, Honda believes in Canada as a great place to do business."
Working with the community to protect the environment
Honda has long been an industry leader in making environmental responsibility fundamental to their operations. This directly ties the well-being and prosperity of the communities they partner with to the company's own. "Through our dedication to glocalization, Honda will be regarded as a company that Canadians want to exist - a company Canadians can trust," says Honda Motor Company Chairman Satoshi Aoki. This is evidenced by Honda's ever increasing role in charitable partnerships with Canadians locally and nationally.
Among the local HCM programs that make noticeable positive differences is its ongoing commitment to Ontario's Spring Creek, a coldwater stream north of the HCM facility that is home to several species in decline, including the Brook Trout. Working with the Nottawasaga Conservation Authority since 2000, HCM associates volunteer to plant trees and shrubs, remove trash, and stabilize stream banks to prevent erosion. HCM Associates also helped to build a network of walking trails that features twenty-three birdhouses designed to boost the bluebird population in Ontario. So far, Honda Canada has planted more than 75,000 seedlings and trees.
To learn more about investment opportunities in Canada, consult: www.investincanada.com
Prepared by the Invest in Canada Bureau, Spring 2009
