NC woos HondaJet, wins jobs

Manufacturing News, Source : The Manufacturer US
Published : 05 Mar 2007 21:38

AEROSPACE: North Carolina uses grant to win HondaJet plant

Honda Aircraft Company, Inc., a subsidiary of Honda Motor Co., will expand its Greensboro, NC, operations and build its new HondaJet at Piedmont Triad International Airport.

The project calls for an investment up to $100 million and 283 new jobs over the next five years, paying an average of $70,000 (twice the county’s annual wage). As Governor Mike Easley is fond of pointing out, the nation’s first-ever flight was in Kitty Hawk, thus North Carolina has a rich tradition in flight.

HondaJet is a new lightweight private business jet. Its construction, says Honda, makes it more fuel-efficient and less costly to operate than similar aircraft on the market today. The jet also has faster cruising speeds than conventional aircraft in its class.

Honda Aircraft Co. was established in Guilford County, NC, in August 2006, with a 50-person office to oversee production, certification, sales and service of the HondaJet. The state’s Economic Investment Committee last month voted to award a Job Development Investment Grant (JDIG) to the company to facilitate expansion into production. Under the terms of the JDIG agreement approved by the committee, a 12-year grant will be established.

Job Development Investment Grants are awarded only to new and expanding businesses and industrial projects whose benefits exceed the costs to the state and which would not be undertaken in North Carolina without the grant. Since the first grant was awarded in 2003, the program has been responsible for creating more than 20,000 jobs and $3 billion in investments in North Carolina.

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