Toyota Kirloskar Motor reiterates its commitment to Indian market

Toyota Kirloskar Motor reiterates its commitment to Indian market
Toyota Kirloskar Motor (TKM) may be a venture between the japanese Toyota Motor Company and Kirloskar Group.

A Toyota Motor Corp. badge is seen on a vehicle at the Brent Brown Toyota dealership in Orem, Utah, US, on Monday, April 6, 2020. (Photographer: George Frey/Bloomberg)
Toyota Kirloskar Motor (TKM) on Thursday said it remains deeply committed to the Indian market and its national objectives, refuting once more the claims by a senior company official earlier that it might stop further expansion in India thanks to high taxes.

The automaker, which sells models like Innova and Fortuner, said it’s firm belief within the core strength of the country’s economic process potential and is fully committed to repeatedly work towards contributing to economic development.

Keeping in sync with the vision of ‘Grow India – Grow with India, during the past 20 years of presence within the country, the corporate has worked tirelessly to take a position in creation of a world-class talent pool and for building a robust competitive local supplier ecosystem in line with the “Skill India” and therefore the “Make in India” initiatives, TKM director Masakazu Yoshimura said during a statement.

The company’s operations in India are an integral a part of its long-term global strategy, he added.

“As a part of these efforts, Toyota Group in India is targeting to take a position over Rs 2,000 crore in India within the coming years on technology and electrification, both for the domestic and therefore the exports market,” Yoshimura noted.

The company reaffirms that it intends to form all efforts to market and introduce newer, cleaner and world-class technologies and services within the market, he added.

TKM may be a venture between the japanese Toyota Motor Company and Kirloskar Group.

On Tuesday, TKM Vice-Chairman and whole-time director Shekar Viswanathan in an interview said that the corporate would stop expanding in India ruling out future investments because the government keeps taxes on cars and motorbikes so high that companies find it difficult to create scale.

Later, the company’s president Vikram Kirloskar refuted the comments and said TKM planned to take a position over Rs 2,000 crore within the country within the next 12 months.

Reacting to Kirloskar’s tweet on investment, Union Heavy Industries Minister Prakash Javadekar had tweeted: “The news that Toyota Company will stop investing in India is wrong . @vikramkirloskar has clarified that Toyota will invest quite Rs 2,000 crore in next 12 months”.

Endorsing the minister’s remark, Kirloskar tweeted: “Absolutely! We are investing 2000+ crore in electric components and technology for the domestic customer and export. We are committed to the longer term of India and can still put all effort in society, environment, skilling and technology.”

Before that, TKM had also issued a press release saying its priority would be to utilise its existing capacity in India which can take time.

The company has an installed capacity of three .10 lakh units spread across two plants in Bidadi, near Bengaluru.

TKM rolls out Innova, Fortuner and Vellfire (imported as CBU) from the primary plant, and Yaris and Camry Hybrid from its second facility.

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