Toyota Kirloskar Motor Announces New Investment in Maharashtra with MoU Signing

Toyota Kirloskar Motor Signs MOU with Maharashtra for Proposed New Investment

Mumbai, India – Toyota Kirloskar Motor (TKM), reaffirming a strong commitment to India, recently signed a Memorandum of Understanding (MOU) with the Government of Maharashtra to examine the setting up of a Green Field Manufacturing Facility at Chhatrapati Sambhaji Nagar. Headquartered in Karnataka, TKM already boasts a world-class manufacturing setup with two state-of-the-art units located at Bidadi, well-equipped to contribute and strengthen India’s position in the global automobile landscape.

The MOU with the Government of Maharashtra was exchanged by Dr Harshadeep Kamble (IAS), Principal Secretary (Industries), Government of Maharashtra, and Sudeep Santram Dalvi, Director & Chief Communications Officer, TKM, in the august presence of Eknath Sambhaji Shinde, Hon’ble Chief Minister; Devendra Fadnavis, Hon’ble Deputy Chief Minister; Ajit Pawar, Hon’ble Deputy Chief Minister; and other key dignitaries. Present from TKM were Masakazu Yoshimura, MD and CEO, Toyota Kirloskar Motor and Regional CEO, Toyota Motor Corporation (TMC); Manasi Tata, Vice Chairperson, TKM; and Swapnesh R Maru, Deputy Managing Director, TKM.

Since the commencement of its operations in 1999, India has been growing in importance and has now become a vital market for Toyota globally. Operating under the core values of ‘Grow India - Grow with India’, the company has been working extensively to expand its operations in alignment with key national priorities of skill enhancement, localization, and development of the local ecosystem.

Integral to the company’s robust operations and significant expansion has been the immense support from the Government of India and the state of Karnataka, which has laid a strong foundation of growth that has now enabled the company to enter the next stage of expansion. Over the past 25 years, Toyota has well established itself as a model company for innovation and manufacturing practices leading to large scale economic and social development of the region. In the State of Karnataka, Toyota Kirloskar Motor, including its group companies, has invested more than INR 16,000 crore and created close to 86,000 jobs in the entire value chain (including supplier and dealer partners) underlining its philosophy of making in India not only for India but for the world. Toyota’s cumulative export contributions also stand at approx. INR 32,000 crore, thus representing the company’s export focus. The company has also made a difference to over 2.3 million lives by championing various social causes aimed at enhancing the quality of life at the grass-roots level.

The New Green Field Manufacturing Unit in Maharashtra

Backed by an expanding product portfolio, steadily increasing consumer demand for world-class products, and growing export orientation, the proposal for the new facility is a testament to TKM’s strong commitment to India. Under the MOU, TKM is considering a significant investment for setting up a Greenfield Manufacturing Facility that will further strengthen the company’s focus on advanced green technologies along with quality products and services. The proposed investment, once finalized, is expected to be made over a multi-year period, potentially contributing to substantial job creation and economic growth in the region.

The strategic location is likely to enhance TKM’s ability to meet business and logistical requirements more efficiently, allowing the company to serve wider markets within the country and abroad, thereby offering significant advantages and growth opportunities.

On the MOU, Yoshimura commented, “Toyota Motor Corporation believes that India is well positioned to become a global manufacturing hub for cleaner and greener mobility solutions. This belief was reinforced by the recent regional restructuring, which elevated India to play a central role by being integrated into the Middle East, East Asia & Oceania Region and acting as the hub of the new ‘India, Middle East, East Asia & Oceania Region’. The MOU signing marks a pivotal point as we stride into the next phase of growth in the country enabling us to contribute to enriching lives with qualitative mobility solutions locally and globally.”

Similarly, the TKM Vice Chairperson stated, “For us at the company, the last 25 years of operational excellence from our Bidadi Plant has created the foundation for the future direction of Toyota in India. Our strategic focus on ‘Make in India’ and ‘Skill India’ will enable us to implement a sustainable, long-term growth strategy which will enable us to offer cleaner, greener mobility solutions to our customers and act as a catalyst toward the Government’s roadmap of ‘Viksit Bharat 2047’.”

Maru added, “The State of Karnataka has helped us to firmly establish ourselves as a tested base for manufacturing excellence. The proposal for the Green Field Manufacturing Facility at Chhatrapati Sambhaji Nagar continues our commitment to advancing sustainable mobility in India. This will act as a tipping point to unlock the potential of the Marathwada region, unleashing its entrepreneurial capabilities and providing new age skills to its youth so as to bring Marathwada as a key contributor to Maharashtra’s growth.”

Image Source: Toyota Kirloskar Motor Pvt Ltd