The Hindu Business Line : Toyota may make India export hub for its small car

New Delhi, Jan. 28 Toyota Motor Corporation President, Mr Katsuaki Watanabe’s, visit to the Capital on Monday and meeting with the Prime Minister and other top government personnel seems to be a harbinger of good news for the country. There are indications that the company is set to tread a similar path as global car makers Suzuki and Hyundai, and is actively looking at making the country an export hub for its small car.

The Japanese car major seems to be looking at scaling up investments and capacity at its existing facility in Bangalore. “Toyota is considering doubling investments and capacity in the country. It is looking at making India an export hub for their small car. The company may firm up its plans over the next two-three months,” said the Union Commerce Minister, Mr Kamal Nath, on his meeting with Mr Watanabe here.

In August last year, the company’s board Chairman, Mr Fujio Cho, had also said that India could be the first market from where their global small car may be launched.

Mr Watanabe is here to commemorate the tenth anniversary of Toyota Kirloskar Motor Pvt Ltd (TKM), its joint venture with the Kirloskar Group here.

While company officials termed the Toyota chief’s meeting with the top government echelon a “courtesy call”, according to industry sources the interaction is on the heels of the company firming up its plans for its Indian operations.

However, TKM Vice-Chairman, Mr Vikram Kirloskar and Deputy Managing Director, Mr KK Swamy, who were accompanying Mr Watanabe, remained tight-lipped on the company’s future plans. “He is obviously happy with the Indian market. Work is going on for our new plant,” said Mr Kirloskar.

Toyota has been studying the Indian small car market. When asked about the tentative timeframe by when Toyota would announce its small car, Mr Kirloskar said, “When it is ready to be delivered at the showroom.”