Toyota To Invest Rs 3,300 Crore To Set Up Third Manufacturing Plant In Karnataka

Toyota Kirloskar Motor (TKM) on Tuesday (21 November) signed a Memorandum of Understanding (MoU) with the Karnataka government as the company is planning to invest Rs 3,300 crore in a new manufacturing plant in state's Bidadi.

This new plant will expand TKM's production capacity to 3.24 lakh cars per year, in addition to their existing two plants at the Bidadi facility.

The decision to establish a third plant is a response to the growing demand for TKM vehicles.

Toyota's new manufacturing plant is set to boost the company's annual production capacity by 100,000 units, bringing the total capacity to 442,000 units. This expansion will also create job opportunities for around 2,000 individuals.

However, it should be noted that until the new plant is operational, Toyota buyers may still experience lengthy waiting periods for some time.

The automaker has made significant investments in India, amounting to over Rs 16,000 crore, and has created around 88,000 jobs throughout the value chain, including suppliers and dealer partners.

Additionally, Toyota's export contributions have reached an estimated Rs 30,000 crore. Over the years, the company has successfully sold more than 2.3 million cars in India, including popular models like the Qualis, Corolla, Hycross, Rumion, and more.

Announcement of the fresh Rs 3,300 crore investment comes a year after TKM and TKAP had signed an MoU with the Karnataka government to invest Rs 4,100 crore aimed at making deeper cuts in CO2 emissions and enhance electrification and the shift towards more sustainable technologies.