Toyota Kirloskar Motor Private Limited (TKM) announced that TOYOTA MOTOR CORPORATION (TMC) has decided to build a second plant on the site of TKM. The company plans to begin operations of its second plant in 2010, a facility having an initial annual production capacity of around 100,000 vehicles, with plans to increase that over time. In line with this, the company plans to further invest approximately Rs. 1,400 Crores (approximately USD 350 Million).
Plans call for the second TKM plant to produce passenger vehicles, including the Corolla as well as a new strategic small car, which is being developed with the aim of meeting the broad needs of customers in India, where motorization is expanding rapidly. Furthermore, TKM plans to export them in the future.
TKM will strive to achieve high local procurement levels for the new strategic small car. In terms of sales, the company intends to increase the dealerships from its existing level, in future. In line with TKM’s increasing annual production capacity, its affiliated suppliers are currently considering investment in the Indian industry as well, and both of these factors are predicted to have a major impact on the economy.
TMC hopes that promoting business activities deeply rooted to the local community in India, which is a country with great potential, will be a positive contribution not only to the development of the automobile industry in India but also to the development of its overall economy and job creation.
