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Old 12-12-2005, 08:24 AM   #1
Tigercub
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Default Re: Honda to Build $1 Million Motorcycle Plant.

What? - A million bucks that's it?



If they produce 15,000 C105 Bizes as projected in 2006 they only need to make $68 per unit to completely recover their capital investment.



Is the Biz based on the 100cc 4-stroke motor they've been making since the middle of the 20th century? I swear they should be able to produce that machine for about $200.



The real question is will any of those Argentines working in the new Honda plant be able to afford the machine they're building?



I had this premonition that a similar headline will appear in an Argentine newspaper regarding a new Honda plant opening in the US about 50 years from now - making the same machine.



"Workers in the United States Honda factory are complaining to management that they can't afford to purchase the machine they are building for foreign customers." "We can't even afford the 12 oz can of gasoline sold at the local drugstore for the wages they're paying us", complained Dr. Johnson whose recent layoff forced him to take employment at the local Honda plant.
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Old 12-12-2005, 09:13 AM   #2
5valvethumper
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Default Re: Honda to Build $1 Million Motorcycle Plant.

Wow, that's only 43.5 Honda Runes....
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Old 12-12-2005, 09:27 AM   #3
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Default Re: Honda to Build $1 Million Motorcycle Plant.

Funny how Tokyo looks to the ruined Argentine economy for "cheap labor".



Don't cry for me Argentina....



Hope they don't open a plant in the USA for the same reason (soon).





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Old 12-12-2005, 10:40 AM   #4
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Default Re: Honda to Build $1 Million Motorcycle Plant.

Although Honda is far from perfect, they do have a longtime philosophy to "build" where they "sell". Most of what they build in most countries, stays there. That is why most of the Honda lawn mowers you buy at Home Depot are made in South Carolina instead of Guadalajara.
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Old 12-12-2005, 11:29 AM   #5
Tigercub
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Default Re: Honda to Build $1 Million Motorcycle Plant.

What? They don't have lawns in Guadalajara?
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Old 12-12-2005, 02:29 PM   #6
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Default Re: Honda to Build $1 Million Motorcycle Plant.

They do this to beat the import tax on cars that come from overseas, which is why some taxes are so high--to force manufacturers to build them locally when they sell so many of them in that particular country.



That is why Accords are built in Ohio. Why BMW X5s are built in So Carolina. Why Toyota Trucks are built in Fremont, CA. Why 599s are built in Italy, etc., etc.
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Old 12-12-2005, 05:07 PM   #7
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Default Made in 'merica

I'm pretty sure Goldwings are made in America. Does MO have a list of all motorcycles made in the U.S.? You can leave custom choppers off the list.
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Old 12-12-2005, 05:46 PM   #8
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Default Re: Honda to Build $1 Million Motorcycle Plant.

For a Million Bucks that can't be much more than an assembly plant, can it? Can you build a plant manufacturing anything from a raw material for a million?
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Old 12-12-2005, 05:53 PM   #9
jfgilbert
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Default Re: Honda to Build $1 Million Motorcycle Plant.

Even in Argentina, I don't think you could build a decent size warehouse for $1M. This must be a typo and should be $1 Billion. That's what a real plant costs these days.
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Old 12-13-2005, 01:43 AM   #10
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Default Re: Honda to Build $1 Million Motorcycle Plant.

1 million is blatantly incorrect - even in Argentina.



Of course what do you expect from Mainstream Media like AP, proofreading by anyone that is NOT business illiterate?



Though if Honda went to inflation ravaged Argentina and offered to pay in gold - say 1 million US in the form of gold coins - heck, they could probably buy Argentina outright...
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