Hino Motors Ltd. said Wednesday it will construct a new auto parts plant in the United States to meet growing demand from its parent company, Toyota Motor Corp.
Hino Motors Manufacturing U.S.A. Inc., a wholly owned subsidiary of the truck and bus maker, acquired a 650,000-sq.-meter site for the new plant in Marion, Ark., last week, Hino said.
The plant, expected to become operational in 2006, will produce auto parts for Toyota, which has been expanding vehicle output in North America in line with strong local sales.
More than 10 billion yen will be invested for the land acquisition and plant construction, which will begin in July, Hino official said.
The new plant will initially hire between 200 and 300 employees.
Hino Motors Manufacturing U.S.A. is also building a plant in Ontario, Calif.