Toyota India localization levels to touch 80% once new engine plant starts production
Jigani, a place on the outskirts of Bengaluru, where Toyota’s new diesel engine plant is being readied. The plant is built at an investment of INR 800 crores and will have initial capacity of 100,000 units annually.
Set to commence trial production soon, the diesel engines produced at this new plant will be making their way into the next generation 2016 Innova and Fortuner, both are confirmed for launch in 2016. This move of manufacturing diesel engine in India, will result in Toyota India localization levels increase to 80%, thus supporting PM Narendra Modi’s Make in India campaign. As on date, Toyota imports its diesel engines from Japan.
Toyota’s diesel engine plant is built on the premises of Kirloskar Toyoda Textile Machinery, because the area at their car and engine plant in Bidadi is almost used-up. Toyota Bidadi plant features two car production units and one petrol engine production unit. Built at an investment of INR 500 crores, the petrol engine manufacturing unit was set up in 2011, through its subsidiary, Toyota Kirloskar Auto Parts.
Toyota had augmented production operations at its two vehicle manufacturing units in Bidadi which currently stands at 3,10,000 units per annum. It is from the first plant that the company produces Innova and Fortuner while models such as Etios, Corolla Altis and Camry are produced from the second plant in Bidadi. Coming into the country via CBU route are Land Cruiser, Prado and Prius.
No new car launches are being planned by Toyota during the year, with the company concentrating only on marketing existing products and increasing dealer network.