Honda planning $472 million expansion of Alabama auto plant

BusinessAssociates at the Honda Alabama Auto Plant (AAP) today celebrated the start of production of the all-new 2026 Honda Passport and Passport TrailSport on Friday, Feb. 28, 2025 in Lincoln, Ala.William ThorntonBy William Thornton | wthornton@al.comState and county officials within the last two months have approved several tax incentives to aid a $472 million expansion of Honda’s auto plant in Lincoln. The state has approved $50.2 million in incentives for the project, according to the Alabama Department of Commerce’s website. The incentives include $46 million in investment credits and $4.2 million in job credits. The incentives were disclosed on Aug. 12. The project is projected to create 200 jobs. In July, the Talladega County Commission also granted a 10-year, $11.2 million tax abatement to Honda Manufacturing.According to The Daily Home, the expansion will be completed in 2029.It will increase “engine plant capacity, transform model flexibility” and include “ancillary projects.”Honda, in a statement, confirmed the expansion but did not comment on its scope.“Honda has had a strong partnership with Talladega County for more than 25 years, tied to the long-term investment Honda has made in the area and our dedicated local workforce,” the automaker said in a statement. “This tax abatement will support new investment from Honda to expand and upgrade our Alabama Auto Plant, reflecting the critical role it plays in our future. We appreciate the support of Talladega County and look forward to the continued growth of our business in the state of Alabama.”Honda has invested more than $3 billion in Alabama over more than two decades and employs more than 4,500 people at the Lincoln plant. Earlier this summer, Honda confirmed it is developing a third generation of its Ridgeline midsized pickup truck, which will continue to be built exclusively in Lincoln. The Lincoln plant manufactures the second-generation Honda Ridgeline, as well as the Passport, Pilot and Odyssey.William Thornton is a business reporter for AL.com. He has been full-time in media since 1993, with experience reporting on local government, education, courts, crime and sports. His printed and online work has...