Toyota Kirloskar Motor (TKM), the Indian subsidiary of the Japanese automotive giant, has entered into an agreement with the Maharashtra government to explore the possibility of establishing a greenfield manufacturing plant in Chhatrapati Sambhajinagar, previously known as Aurangabad. The project is estimated to involve an investment of Rs 20,000 crore.
Production and Employment Goals
The proposed plant aims to manufacture 400,000 electric and hybrid vehicles annually, significantly boosting the region's automotive capabilities. Maharashtra Chief Minister Eknath Shinde and TKM's Managing Director and CEO Masakazu Yoshimura announced that the project would create 8,000 direct jobs and an equal number of indirect employment opportunities, transforming the local economy.
The new facility will be located in AURIC (Aurangabad Industrial City), Chhatrapati Sambhajinagar, on a sprawling 850-acre site. This initiative is part of Toyota's broader strategy to enhance its production capacity and expand its footprint in India. The company also announced an investment of Rs 3,300 crore in Karnataka last year to set up a third plant in Bidadi, near Bengaluru, further cementing its commitment to the Indian market.
“Toyota Motor Corporation believes that India is well positioned to become a global manufacturing hub for cleaner and greener mobility solutions.” - Masakazu Yoshimura
Toyota's investment in the greenfield plant underscores its confidence in India's potential as a manufacturing hub for clean and green mobility solutions. The company has already initiated a regional restructuring, integrating India into the Middle East, East Asia & Oceania Region, highlighting India's strategic importance in Toyota's global operations.
The company's plans align with India's broader goals of reducing carbon emissions and promoting sustainable automotive technologies. With the new plant, Toyota aims to contribute to these goals while expanding its market share in the growing electric and hybrid vehicle segment.
The proposed greenfield plant in Aurangabad is a significant milestone in Toyota's journey towards sustainable mobility. The collaboration with the Maharashtra government and the substantial investment highlight the importance of public-private partnerships in achieving environmental and economic goals. As the project moves forward, it will be a critical driver of innovation and job creation in the region.