Honda Motor Co. said Friday it will permanently shut down an engine parts plant in Mooka, Tochigi Prefecture, in 2025 to improve efficiency through factory consolidation.
The closure is part of an effort by the automaker to restructure its vehicle manufacturing operations that has been underway since 2017.
As part of the effort, Honda has already announced a plan to close an assembly plant in Sayama, Saitama Prefecture.
The company will move some 900 workers at the Mooka plant to new locations in order to keep them employed.
The shutdown of the Mooka plant is linked to a move by automakers to cut back on engine development as they are racing to electrify vehicles.
In April, Honda said it aims to sell only electrified vehicles globally by 2040.
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