Honda will move CR-V production to Canada, which means the MDX heads to Alabama.

A Japanese business newspaper reports that Honda is planning to spend $300 million on its Alabama assembly plant to transfer production of its Acura MDX luxury crossover.

The move would grow Honda's Lincoln, Alabama, plant's capacity from 300,000 to 340,000 units annually, according to Japan's Nikkei newspaper.

Currently, the MDX is built at a Honda plant in Alliston, Ontario, but the Japanese automaker will soon transfer some production of its new-for-2012 CR-V to the Canadian facility. To make room for the CR-V, Honda will move MDX production to Alabama, where it currently builds its other large vehicles, including the Honda Odyssey minivan, Pilot crossover and Ridgeline pickup.

CR-V production will move to Canada from Sayama, Japan, where the automaker will begin building more cars for its domestic market. Honda, like other Japanese automakers, has been hit hard by a strong yen that makes export production unprofitable. The automaker is expected to continue assembling CR-Vs in East Liberty, Ohio, in addition to Ontario, for the North American market.


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