Honda ponying up more than $400M to build new plant in Brazil

SAO PAULO, Brazil—Honda Motor Co. says it will invest $435-million to build its second factory in Latin America’s biggest country.

In a statement, the Japanese automaker said the new plant is expected to begin operating in 2015 and will have an annual production capacity of 120,000 compact cars.

The new production unit will be built near the city of Itirapina in Sao Paulo state.

Honda’s plant in the city of Sumare has been operating since 1997.

It produces 120,000 cars a year.

The announcement comes a day after the automaker said it will spend $215-million to expand an engine plant and build two training centres in Ohio.