The Hindu : Business : Toyota Kirloskar lays foundation for second unit

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Business

Toyota Kirloskar lays foundation for second unit

Special Correspondent

Company has
so far invested
Rs. 1,400 cr.
Plans to launch small car
by 2010

BANGALORE: Toyota Kirloskar Motor on Thursday laid the foundation for its second plant unveiled by Karnataka Chief Minister B. S. Yediyurappa, taking it closer to plans for the launch of a small car by 2010.

The new facility will have a capacity to turn out one lakh vehicles a year.

Senior Managing Director, Toyota Motor Corporation, Akira Okabe, said, “We started modestly in 1997, producing 27,000 vehicles and have increased it by an average 18 per cent a year since then. The transmission plant in Bangalore exported 57,000 assemblies last year to Toyota production centres in several countries.”

When the compact car production begins, Toyota would scale up its investment, equipment and dealer network to match the market, Mr. Okabe said.

Toyota has so far invested Rs. 1,400 crore here and employs 3,000 persons. About 2,400 more jobs would be created now. The one lakh units a year initial figure could be ramped up easily. “Our new plant will be eco-friendly, using low carbon technology to minimise effluents and using wind and solar energy back-ups,” he added.

Speaking later to reporters, Toyota Kirloskar Vice-Chairman Vikram S. Kirloskar said, manufacturing the small car or new variants of Corolla and Innova would be easier for the company because of its flexible production system.

“The actual numbers (of the small car) will depend on the market; we will make the small car not only for India but also for exports. Production details are being finalised.”

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