Toyota To Build Plant In India

The Toyota Motor Corp. is the world's second-largest automaker and it intends to build an innovative plant in India and then sell small cars in the country for the first point in time. "We need to get into that kind of area, " said Atsushi Toyoshima, Toyota's managing director in charge of India plant. "Without that, Toyota can't be a substantial player in the market. That's very clear. "

Toyoshima noted that Toyota offers just 0. 7 percent of India's passenger car market as it only sells Corolla together with Camry sedans, costing about twice as much as the country's average family car. It plans to introduce smaller models as it seeks to win a 10 percent share of a market prone to grow 15 percent annually in the next 20 years. These small cars are compatible with Superwinch and other motor vehicle add-ons.



"To succeed within India, a small car is critical, " said K. K. Mital, who manages 1. 75 billion rupees ($40 million) as the chief investment officer at the New Delhi-based Escorts House Management. "A sedan as one's heart of the market is quite a while away, " Mital adds.

The Japanese automaker has boosted its share from India's car market by 0. 06 percent within 2003. It is when Toyota first set out its goal of yielding a ten percent share by 2010. The Toyota City, a Japan-based company, has a 20 percent share of the utility-vehicle segment with typically the Innova.
In an interview at the company's only factory during India, Toyoshima said the automaker has not decided yet where it will build the new plant which would be manufacturing the smaller models the fact that the company will sell in India. When it will be built has also yet to become disclosed.

According to that Society of Indian Automobiles Manufacturers, the sales of Toyota traveling cars decreased by 22 percent in the 11 months ended February from a year earlier to 6, 530. Consequently, the sales of its Innova and Prado trucks increased 17 percent towards 32, 166.

Toyota, based in Aichi, Japan and started in 1933 by Kiichiro Toyoda, is famed for manufacturing cars, trucks, buses and bots and providing financial products. In 2006, the company reported a total vehicle production of 9. 018 million vehicles. So far, Toyota is the world抯 most profitable automaker.

Most analysts in the industry believe that Toyota definitely will takeover General Motors post since the largest automaker either late this year or in the getting year. Last year, the automaker increased its annual vehicle production by 1. 7 million from 7. 3 to nine million. This 12 months, Toyota抯 target annual manufacturing is 9. 4 million vehicles. If the focus on is met, that could pave way to a new automaker sustaining the world抯 largest automaker identify.