Toyota to invest Rs.1650 crores to increase production capacity
Toyota,the Japanese auto giant has declared an investment of Rs.1650 crores to increase the localisation of the components and the production capacity of its Indian operations by one lakh units by 2014.Toyota products are marketed in India through Toyota Kirloskar Motor.
The company stated that Toyota Kirloskar Motor (TKM) today announced a further increase of its production capacity to 3,10,000 units by 2013.The expansion will come with an investment of Rs.898 crores approximately and generation of new employment opportunities.It added that the production capacity at the first plant will be enhanced from 90,000 units to 1,00,000 units, while the output at the second plant will be increased to 2,10,000 units from 1,20,000 units.
The company said that the first plant will manufacture multi-purpose vehicle Innova and sports utility vehicle Fortuner. The second plant will roll out sedans Etios and Corolla Altis and hatchback Liva.TKM also said it will increase the localisation of components of the Etios and Liva, with Toyota Kirloskar Auto Parts Pvt Ltd (TKAP) planning to install and commission aluminum casting and machining lines by early 2014.It added that the installation will see an additional investment of Rs.750 crores approximately and generation of new employment opportunities.
Hiroshi Nakagawa,Managing Director of TKM commemted on the development that in line with the growing demand for their vehicles, they have decided to further expand production.He said the demand for Etios and Etios Liva has been encouraging and they are gearing up to cater to a larger number of customers.
Regarding the new project in India,Vikram Kirloskar,Chairman of TKM informed that Etios and Etios Liva have been designed specifically for the Indian market.He said the localisation project is vital to provide best quality product at a competitive price.