World’s largest automobile manufacturer Toyota is gearing up to pump in Rs 1,650 cr into India in order to enhance its production capacity by one lakh units as well as ensure further domestication of components by 2014.
Toyota Kirloskar Motors has plans to invest 898 crore in two of its plants to ramp up its capacity. The current capacity of the first plant is 90,000 units which will be increased to 1,00,000 units while the second plant’s production will be raised to 2,10,000 units from 1,20,000 units.
The company conveyed in a statement:"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 approximately Rs 898 crore and generation of new employment opportunities."
The Japanese giant also plans to shell out Rs 750 crore additionally to set up aluminum casting and machining lines by early 2014.
TKM has been forced to undertake these investments after the tremendous response received for Toyota’s Etios sedan and Etios Liva hatchback in this part of the world.
TKM Chairman Vikram Kirloskar said in a statement that Etios and Etios Liva are specifically designed for the Indian market and hence their localized production will help the company in providing better product quality at competitive pricing.
