Toyota to Build Second Plant in India; New Toyota Motor Kirloskar Facility to Boost Annual Local Capacity to 160,000

Date : 04/11/2008 @ 3:56AM
Source : JCN Newswire (English)
Stock : Toyota (TM)
Quote : 88.82  0.86 (0.98%) @ 8:00PM
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Toyota to Build Second Plant in India; New Toyota Motor Kirloskar Facility to Boost Annual Local Capacity to 160,000

Tokyo, Japan, Apr 11, 2008 - (JCN Newswire) - Toyota  Motor Corporation (TMC) announced today
that it has decided to build a second plant on the site of Toyota Kirloskar Motor Private
Limited (TKM), its automobile production base in India.

TKM is aiming for its second plant to begin operations in 2010, boasting an initial annual production capacity of some 100,000 vehicles, with plans to increase that over time. In line with this, the company plans to further invest more than approximately 35 billion yen.

Plans call for the second TKM plant to produce passenger vehicles, including the Corolla as well as a new compact vehicle. The aim of the new plant is to meet the broad needs of customers in India, where motorization is expanding rapidly. The new compact vehicle is also expected to be exported to other countries in the future.

TKM is a joint venture company established on the outskirts of Bangalore in October 1997 by TMC and the Kirloskar Group. Currently, TKM produces the Corolla and the IMV series Innova minivan, with annual production in 2007 of 52,000 vehicles (an 18% year-on-year increase).

On the basis of its policy of producing vehicles where sold, TMC decided to build the second TKM plant to respond to the market expansion that has accompanied the development of motorization in India. Once production begins at the second plant in 2010, the two TKM plants will have a combined annual production capacity of 160,000 vehicles.

TMC will continue in the future to develop an optimal production network on a worldwide scale from the perspective of providing"the right vehicle in the right place at the right time", according to the needs of the market.

Outline of Second TKM Plant
Location          On the site of Toyota Kirloskar Motor Private Limited 
                  (on the outskirts of Bangalore, Karnataka State) 
Investment        Approx. 35 billion yen 
Start production  Scheduled for 2010 
Annual capacity   Approx. 100,000 units 
                  (when plant becomes operational in 2010) 
Outline of TKM
Company name      Toyota Kirloskar Motor Private Limited 
Location          Outskirts of Bangalore, Karnataka State 
Establishment     October 1997 (start of production: December 1999) 
President         Hiroshi Nakagawa (from TMC) 
Equity            TMC: 89%, Kirloskar Group: 11% 
Land area         Approximately 420acres (approximately 1.7 million m2) 
Annual capacity   Approx. 60,000 units
                  (After 2nd plant is operational, approx. 160,000 units) 
Products          Corolla, Innova 
2007 production   52,000 units 
Employees         Approx. 2,800 (as of February 2008)


About Toyota Motor Corporation



Established in 1937, Toyota Motor Corporation (TSE: 7203; NYSE: TM), which celebrates its 70th anniversary this year, has developed into one of the world's best known automobile manufacturers. The Toyota Group sold over 8.5 million vehicles under the Toyota, Lexus, Daihatsu, and Hino brands in more than 170 countries and regions in fiscal 2007. Further, the Company's production is firmly rooted in local communities, with 52 companies manufacturing vehicles and parts in 26 countries and regions. Toyota had approximately 300,000 employees on a consolidated basis at the end of fiscal 2007. The company is headquartered in Aichi, Japan. For more information, please visit www.toyota.co.jp/en/index.html .

Source: Toyota Motor Corporation

Contact:
Toyota Motor Corporation
Corporate Communications Department/
Public Affairs Division
Tel: +81-3-3817-9150
URL: http://www.toyota.co.jp/en 


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