Toyota’s second plant in Bangalore is getting ready to make engines and gearboxes for the dream car Etios, The proposed capacity is 70000 annual units from this facility. Etios, displayed at the Delhi Auto Expo this year beginning is slated for launch this year end. Toyota’s Indian partner , Kirloskar Auto Parts is already content with two plants at an investment of Rs500 crore of which one can yield 52000 engines per year in India. The other one, having the capacity of 170000 gearboxes from which a portion goes to Innova and the rest being exported to Thailand and Argentina.
A proposal has been devised to increase the investment by another Rs500 crore to increase the output of gearboxes to 240000 annually and a third plant which will have a capacity of 1 lakh engines. Toyota has allotted 70000 engines from the third plant for Etios and the remaining for exports.
The production at the third plant will commence in Q3 of 2012 and by 2013 the company expects to deliver 240000 transmission boxes from the third plant. The transmissions made in India are utilized for Fortuner and export to Argentina and Thailand. TKAP plant delivers axles and propeller shafts for Innova and the methodology behind engine and gearbox manufacturing for Etios is to initiate maximum localization. TKM has invested Rs1700 crore for the first plant and the second plant will involve Rs3200 crore which makes Etios. The net sale volume of Toyota Kirloskar in India stands at 55000 vehilces in 2009 and the estimated sale for this year is 70000 units an increase of 20%, said its MD. He anticipates that the major contribution in this regard will come from the sale of Etios.