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CELINA - A major auto parts manufacturer will invest $59.1 million in new equipment and infrastructure at its plant to produce parts for the next battery electric vehicle (BEV) model.
Celina Aluminum Precision Technology, an affiliate of Honda Motor Co., made the announcement in a news release on Tuesday, saying it will initiate the transition from internal combustion parts to BEV parts.
CAPT will begin installing new equipment in the fourth quarter of the year. This includes three new casting machines using a Japan-patented technology called Honda Foundry Electromagnetic Die Casting, two new machining lines and assembly lines, per the release.
"The new equipment installation falls in line with striving to become carbon neutral with minimal impact to the environment," the release states.
JobsOhio will provide a grant to train CAPT associates in the processes of the new machines. The grant will reimburse training costs up to $400,000, according to the release.
Moreover, CAPT will retain its workforce of roughly 400 associates in the manufacturing plant.
"CAPT is proud that we can start this business transition and remain a business partner in Mercer County," said Tom Rable, CAPT's senior vice president. "We have a talented team of associates that will enable this new business to launch successfully. This will allow CAPT to continue to have a positive impact on the community."
Rable said he expects the new equipment to begin arriving in the next six months.
"This is something we've been working on for quite some time," he told the newspaper. "We don't need to expand the facility. We're going to retool the facility for the future."
Associate training will likely occur from late November 2024 to late November 2025, when mass production of BEV parts is projected to commence.
CAPT, which was founded in the summer of 1994, currently manufactures rear knuckles for vehicle suspension systems. It also makes aluminum powertrain parts - pistons, cylinder heads, water passages and lower block.
Its in-house production capabilities include aluminum melting, casting, machining and assembly processes, per the release.
Government regulations, Environmental Protection Agency standards, consumer demand and other factors will determine when CAPT makes a full transition to BEV parts, according to Rable.
"The transition for many of these automotive suppliers goes between now and even 2040 because most automotive suppliers are going to continue to make some type of a gas engine, a hybrid engine and then a battery," he said.
CAPT's $59.1 million investment is an example of how Ohio's automotive supply chain is nimble and adapts to evolving market conditions, according to JobsOhio President and CEO J.P. Nauseef.
"Nearly three decades ago, CAPT was established in Mercer County, where it now employs 400 workers learning new skills to provide critical components needed for Honda's EV production," Nauseef said in a statement.
Julie Sullivan, executive vice president of regional development for the Dayton Development Coalition, echoed those sentiments, asserting CAPT's manufacturing expertise and commitment to innovation will help keep the Dayton region "positioned for a leading role in the transformation of the automotive industry."
CAPT has been a community pillar for 30 years, said Mercer County Community Development Director Jared Ebbing.
"They have firmly established themselves as a leading employer in the region by providing a great work environment for many fantastic career opportunities that exist in their operations," Ebbing said in a statement. "This new investment only reaffirms this fact and we look forward to our continued collaboration for years to come as a result."
