Richmond port expands Honda import presence

 Richmond, Calif. City Council members approved a multimillion-dollar deal with a U.S. partner of Honda Motor Co. that will see the Japanese carmaker ship 145,000 cars a year through the Port of Richmond.

   The 15-year deal, valued at $87.5 million, requires the Bay Area city to issue $37.9 million in bonds to upgrade the auto receiving facility at the port. The deal, signed with Auto Warehousing Co. of Tacoma, Wash., includes options for two five-year extensions.

   Auto Warehousing, which imports, exports and preps automobiles for several major automakers, imports nearly 100,000 Hyundais and Kias, and about 80,000 Hondas each year through Richmond.

   The deal is expected to provide the city with $30 million in net revenue, about $2 million a year, over the 15-year life of the agreement. The facility upgrade project is to create 200 construction jobs and when completed, 200 permanent jobs at the auto facility. 

Source: American Shipper