Hino Motors closing Marion facility, 1,300 to lose jobs

Japanese auto parts manufacturer Hino Motors will close its Marion, Ark., facility by 2027 shedding 1,300 jobs in eastern Arkansas. Citing heavy losses, Hino outlined the action in a May 31, 2024 memo to its board of directors.

“We hereby announce that at the Board of Directors meeting held on May 31, 2024, we decided to withdraw from the parts business at HMM Arkansas plant,” the memo read.

Hino said business losses impaired a sustainable profit “and thus have decided to withdraw from this business.”

The Arkansas plant will be closed by the end of 2027 and Hino said it will withdraw from the parts business altogether. The Marion facility opened in 2006.

“We appreciate the strong contributions of our Arkansas team as well as the support extended to us by the city of Marion and the state of Arkansas over the years,” said Hino Motors Manufacturing President Davey Jung in a press release. “This difficult choice will allow our company to redirect our focus towards our truck operations in the United States.”

Hino Motors has a Detroit U.S. headquarters that employs 200 and an auto plant in West Virginia that employs 400.

“The city of Marion would like to express its deepest appreciation to Hino Motors Manufacturing U.S.A. for their 20 years of dedicated service and contribution to our community. Over the past two decades, the company has played a vital role in our local economy, providing jobs, supporting local businesses, and contribution to Marion’s overall growth and development,” a statement from the City of Marion said on its Facebook page.

“While this marks the end of an era, we remain immensely grateful for their positive impact on our community. Their legacy will continue to be felt for many years to come,” the statement added.

Hino said displaced employees will receive severance pay, extended healthcare, an end of service bonus and outplacement services.