Honda to Build More CR-Vs in the U.S., Plans to Increase the use of Parts from Low-Cost Countries

The strong yen is affecting all Japanese automakers that are exporting their locally produced cars to America. Honda is one of them, as of the 72,000 CR-Vs built last year in Japan, 35,000 made their way to North America. Japan’s third largest automaker wants to invest in its North American plants to increase the number of CR-V it builds here and reduce exports from Japan, thus minimizing losses due to exchange rates.

“Our profit structure has improved mainly thanks to robust overseas operations, and the toughest area remains exports from Japan”, Chief Financial Officer Yoichi Hojo told reporters at Honda's headquarters on Wednesday. “With a little investment, we would be able to increase production of the CR-V in the United States, so that's the most probable course of action (to reduce yen exposure)”, he said.

The company official said that Honda is currently examining various options to increase the crossover’s production. One of the factories that builds the CR-V, the East Liberty plant, in Ohio, is already operating at full capacity, but the neighboring Marysville plant is at 80%, while a factory in Indiana is working at half of its total capacity.

Should the need arise, Honda could also increase the output of its Mexican and Canadian plants.

In the future, the automaker also plans to use more components sourced from low-cost countries, such as China and India.

According to Yoichi Hojo, low-cost components will account for at least 10% of the upcoming 2012 Civic, a major improvement considering that the current generation uses very few if any low cost parts. The same ratio is at 17% in the case of the Fit subcompact, but Honda is aiming for about 30%.

By Csaba Daradics

Source: Reuters

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Honda to Build More CR-Vs in the U.S., Plans to Increase the use of Parts from Low-Cost Countries

The strong yen is affecting all Japanese automakers that are exporting their locally produced cars to America. Honda is one of them, as of the 72,000 CR-Vs built last year in Japan, 35,000 made their way to North America. Japan’s third largest automaker wants to invest in its North American plants to increase the number of CR-V it builds here and reduce exports from Japan, thus minimizing losses due to exchange rates.

“Our profit structure has improved mainly thanks to robust overseas operations, and the toughest area remains exports from Japan”, Chief Financial Officer Yoichi Hojo told reporters at Honda's headquarters on Wednesday. “With a little investment, we would be able to increase production of the CR-V in the United States, so that's the most probable course of action (to reduce yen exposure)”, he said.

The company official said that Honda is currently examining various options to increase the crossover’s production. One of the factories that builds the CR-V, the East Liberty plant, in Ohio, is already operating at full capacity, but the neighboring Marysville plant is at 80%, while a factory in Indiana is working at half of its total capacity.

Should the need arise, Honda could also increase the output of its Mexican and Canadian plants.

In the future, the automaker also plans to use more components sourced from low-cost countries, such as China and India.

According to Yoichi Hojo, low-cost components will account for at least 10% of the upcoming 2012 Civic, a major improvement considering that the current generation uses very few if any low cost parts. The same ratio is at 17% in the case of the Fit subcompact, but Honda is aiming for about 30%.

By Csaba Daradics

Source: Reuters

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Honda Recalling 2010MY Accord and CR-V Models in the States for Engine Stalling Problems

Honda has issued a new recall for certain 4-cylinder Accords and CR-Vs from the 2010 model year to check a potential failure with the engine wiring harness connector, as it may cause intermittent spark firing or the engine to stall.

"The wire harness coupler could have been damaged during vehicle assembly, which can lead to engine stalling over time," the Japanese automaker said in a statement, adding that it identified this problem through warranty repairs, and that no related accidents or injuries have been reported to date.

According to the National Highway Traffic Safety Administration, the recall affects 2,277 vehicles in the States.

Under the recall, the firm's dealers will inspect and replace the ignition wiring harness connector free of charge. Notification to customers is expected to begin in early February, 2011.

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Honda Germany Celebrates 50th Anniversary with Special Edition Models

Honda has launched a new series of special edition models in Germany to celebrated the company's 50th anniversary in Europe. The first Honda store in Germany opened in 1961 in the city of Hamburg. The lineup of special edition models includes the CR-Z hybrid sport hatch, the Civic, the CR-V, the Accord and the Jazz, all of which feature additional standard equipment such as larger alloy wheels and upgraded audio systems (depending on the model) without a price increase. More details on the 50th Anniversary specials can be found on Honda's German website.

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Honda Dealer Memo Says 4-Cylinder CrossTour and 2012 CR-V on their Way Along with New Civic

The Honda fan-boys over at the Temple of VTEC claim to have intercepted an internal memo with details on the firm's upcoming models, which was sent out today to dealers. The email reportedly states that Honda will be releasing a lower-priced based version of the Accord CrossTour equipped with a 4-cylinder engine, with sales to start in "mid-summer". We'll remind you that that CrossTour is currently offered exclusively with a 275HP 3.5-liter V6 and available four-wheel drive.

The website notes the memo also mentions the 2012 Civic, which will arrive in "late April" (this has already been officially confirmed by Honda that will show a pre-production study at the Detroit Show next week), as well as the 2012 CR-V and the Pilot SUV, without, however, getting into any more details.

Source: Temple of VTEC

3 of the more fuel-efficient compact SUVs on the market

In the current economic conditions, many consumers have decided that fuel economy is one of the more important factors involved in the car buying process. For those interested in purchasing a used SUV in New Jersey, there are several models that can offer you the benefits of a larger family vehicle that won't hurt your wallet at the pump.

In 2005, several car manufactures began specializing in the compact sports utility vehicle. Three of the highest rated, most moderately priced SUVs that also have the best fuel economy include the Honda CR-V, the Toyota Rav4 and the Toyota Highlander.

The 2005 Honda CR-V is one of the more fuel-efficient SUVs in its class. It gets a respectable 23 miles per gallon in the city and a very solid 29 mpg on the highway, according to About.com.

The '05 model is equipped with Honda's four-cylinder 2.4-liter engine that is more than capable of competing with various sedans on the highway. With 160-horsepower and 162 pound-feet of torque, the CR-V is able to outperform most any compact SUV in its class, Edmunds.com reports.

Honda's 2005 CRV comes standard with an "intelligent" variable valve timing system called i-VTEC, which allows the engine to generate plenty of power while maintaining an impressive fuel economy. It offers class-leading interior space, yet drives more like a sedan than a larger family car.

"If you're looking for a reasonably priced, all-purpose vehicle with a sense of adventure and fine foul-weather capability, the CR-V is hard to beat," says the news source.

Just behind the CR-V in terms of fuel economy for a compact SUV is the Toyota Rav4, which gets 23 miles per gallon in the city and 27 mpg on the highway. The two-wheel drive, manual transmission model is even more fuel-efficient.

In 2005, the Rav4 was reequipped with a more powerful engine and received significant safety improvements.

The '05 model has a 2.4-liter four-cylinder engine that produces 161-horsepower and 165 pound-feet of torque. Similar to the CR-V, the Rav4 comes standard with a variable valve timing system that boosts torque at low- and mid-range engine speeds.

Outfitted with four-wheel anti-lock brakes and side airbags for front passengers, outshines its competition in terms of standard safety features. In government crash tests, the Rav4 earned four out of five stars for frontal impact protection and a perfect grade for side impacts, according to Edmunds.

The Rav4 is the first car to win the Best Pick designation for both front and side impact tests.

"Intended for a life on pavement, the RAV4 really shines in this environment, where its taut suspension, quick steering and tight turning radius come together to produce one of the best-handling SUVs we've ever driven," says the news source.

For consumers interested in a mid-size SUV with a strong fuel economy, the 4-cylinder Toyota Highlander may be of interest.

Highlanders are available with a 230-horsepower V6, but the V4 model gets significantly more miles per gallon. City mileage ranges from 18-22 mpg, but the Highlander can get up to 27 mpg on the highway.

It is available with four-wheel-drive and can seat up to seven passengers. The '05 Highlander sits much higher than the Rav4 of CR-V and has considerably more interior space. It costs a bit more than some compact SUVs, but is fairly priced for its size, strong fuel efficiency and smooth ride.

"The Highlander is so darn smooth it encourages the driver to make every trip a pleasure for his or her passengers," says Phillip Powell from About.com.

About the Author

James Dunsford is a New Jersey used cars specialist for New Jersey Auto Auction