Toyota in India to expand production capacity to 310K units in 2013
27 July 2011
Toyota Kirloskar Motor Private, Ltd. (TKM), Toyota Motor Corporation’ (TMC) production and sales subsidiary in India, plans to further increase annual production capacity to meet the rapid growth of India’s automobile market. Capacity will expand to 310,000 units in 2013, up from a previously announced 210,000 units by the first half of 2012. Current capacity is 160,000 units.
The expansion will come with an additional ¥17.2 billion (US$221 million) investment and the hiring of new employees.
The further expansion will enable timely delivery of the Innova, Fortuner and the made-for-India Etios sedan and Etios Liva hatchback. The Etios is a compact car newly developed specifically for the Indian market. The Etios (sedan) was launched in December 2010 and the Etios Liva (hatchback) was launched in June 2011.
This is a very wise move. India will be the second (after China) world market for vehicles of all types by 2025/2030. It is very important to build those vehicles locally, using the abundant local labor force and avoid high import duties.
Toyota's compact high fuel economy vehicles are well suited for India's very large cities.
Posted by: HarveyD | 27 July 2011 at 08:36 AM