Honda Trading Aluminum Kumamoto Factory Launches Eco-Friendly Renovation Aiming for 40% CO₂ Reduction

—Location Agreement Signed with Ozu Town to Build a “Next-Generation Honda Group Factory” Model; Full Operation Scheduled for April 2028—

Honda Trading Aluminum Corporation (Head Office: Kiryu City, Gunma Prefecture; President: Kotaro Mizuguchi), a subsidiary of Honda Trading Corporation (Head Office: Chiyoda-ku, Tokyo; Representative Director, President & CEO: Tatsuya Natsume), has signed a Location Agreement with Ozu Town in conjunction with the planned renovation of its Kumamoto Factory (Ozu Town, Kikuchi District, Kumamoto Prefecture). The signing ceremony was held on October 24, 2025, at the Kumamoto Prefectural Office with the participation of Kumamoto Prefecture officials.

Overview of the Renovation

The project was initiated to address multiple challenges, including recovery from damage caused by the 2016 Kumamoto Earthquake and the need to reduce environmental impact. The renovation will transform the facility into a more resilient, earthquake-resistant plant while introducing state-of-the-art eco-friendly equipment. Honda Trading Aluminum aims to reduce CO₂ emissions by approximately 40% compared to previous levels (internal estimate). With full-scale operations scheduled to begin in April 2028, the Kumamoto Factory will serve as a model for next-generation, low-carbon manufacturing within the Honda Group, promoting sustainable production in collaboration with the local community.

Key Environmental Initiatives

The renovation will integrate advanced technologies, including LNG fuel conversion, electrification of dust collectors, and melting furnaces equipped with regenerative burners. These initiatives are projected to reduce CO₂ emissions by approximately 40% while simultaneously boosting production efficiency. Positioned as a flagship facility, the Kumamoto Factory exemplifies the Honda Group’s commitment to environmental innovation and sustainability.

Community Collaboration

This initiative is being advanced in close partnership with Kumamoto Prefecture and Ozu Town. A groundbreaking ceremony was held on October 23, followed by the signing of the Location Agreement on October 24 at the Kumamoto Prefectural Office. The agreement emphasizes local employment, collaboration with regional industries, and environmental stewardship as key priorities for the plant expansion.

Future Outlook

Kotaro Mizuguchi, President of Honda Trading Aluminum Corporation commented:
“Our mission is to contribute to society through resource recycling and environmental impact reduction while supplying essential materials for automotive components. This renovation provides an opportunity to further enhance efficiency and reduce CO₂ emissions by 40% through LNG fuel conversion, electrification of dust collectors, and the introduction of regenerative burners. We will continue striving to meet customer expectations for stable supply and environmental responsibility as a company trusted by society.”

Honda Trading Aluminum Corporation Gunma Factory (Head Office)