Toyota Kirloskar Motor to invest Rs 3,300 cr to set up new Karnataka plant
Toyota Kirloskar Motor (TKM) has revealed plans to invest Rs 3,300 crore in building its third manufacturing plant at Bidadi, Karnataka, in a calculated move. The new unit, which will operate in two shifts and have an annual capacity of one lakh units, is expected to begin production by 2026, according to the company. The third plant will be integral to TKM’s expansion strategy. It will be located within the current Bidadi facility, where the company currently operates two units with a combined installed production capacity of up to 3.42 lakh units annually. According to TKM Executive Vice President, the new facility is positioned as “future-ready” to roll out models spanning across different fuel technologies in addition to being designed to produce the well-liked multi-utility vehicle Innova HyCross.
In his remarks, Gulati underlined the company’s future readiness, saying, “I believe we are as a company future-ready, both in terms of access to technology and well-accepted products across various powertrains.” He conveyed confidence in the production lines’ ability to adapt to various powertrain configurations, allowing the company to be agile in its response to changing market trends.
Gulati hinted that the third plant would be more sophisticated and future-ready, in line with the changing landscape of the automotive industry, even though specifics regarding the inclusion of new technology vehicles, such as electric vehicles, are still pending.
An additional 2,000 jobs are expected to be created by the third plant, adding to the 11,200 workers currently employed by TKM’s two existing plants in the area. Commemorating the company’s 25 years of operations in India, TKM has reached a significant milestone with the signing of the memorandum of understanding with the Karnataka government. Masakazu Yoshimura, the CEO and Managing Director of TKM emphasized the company’s dedication to being a “future-ready mobility company” and underlined the advantages of the new plant for the creation of jobs and the uptake of cutting-edge clean technologies during the event.
In its previous memorandum of understanding with the Karnataka government, Toyota demonstrated its commitment to sustainability and innovation. TKM and Toyota Kirloskar Auto Parts are committed to investing Rs 4,100 crore to improve electrification, accelerate the transition to greener technologies, and achieve deeper cuts in CO2 emissions.
The CEO of Toyota’s Asia Region, Masahiko Maeda, expressed confidence in the significance of the Indian market and confirmed that TKM’s role in Toyota’s global vision for a promising future will be enhanced by the new investments made in India through the creation of sustainable mobility solutions.The article concludes with the information that Toyota has invested a total of Rs 16,000 crore in India for various activities, underlining the company’s long-term commitment and significant presence in the Indian automotive sector.
