Toyota Will Commence Production of Etios by Third Week of December
The Japanese car maker Toyota said that it will begin with the production of the entry-level sedan Etios this coming third week of December from its second manufacturing facility in India at Bidadi in Bangalore. The company has been active in India through the joint venture with Kirloskar Group-Toyota Kirloskaer Motor (TKM). Toyota Kirloskar Motor Executive Managing Coordinator Director Marketing Koji Naga told reporters that: "We shall commission our second plant in Bidadi by last week of December this year. Initially we will begin operation in one shift," He said that starting next year, they will commence production in two shifts and he also added that the company has invested close to Rs 3,200 crore in the second manufacturing facility and the plant production capacity has been increased to 80,000 units per annum. Nagata further said, "At present, the localisation for Etios is 70 per cent. With the introduction of engines and transmissions in 2012, the plan is to increase localisation up to 90 per cent," As of the moment, about 70 percent of the components of Etios are locally sourced. There are only critical components such as the engines and transmissions which are imported from Japan. The company has proposed that the bookings for Etios Liva be open until April next year. "Amidst plan to double its sales in India next year to 1,40,000-1,50,000 units, TKM will launch the hatchback Etios Liva next April," said TKM General Manager Sales Division Sailesh Shetty. Toyota Etios was released in the market on December 1. Even if it had been in the country for more than a decade, overall, the market share of Toyota in the auto industry has remained less than 4% even if it is enjoying a strong market position in segments where it is present. The Etios was set for the mid-size sedan and compact car categories which are expected to double the sales of Toyota in the coming year. As of present, Toyota Kirloskar Motor (TKM) manufactures luxury sedan Corolla Altis, SUV-Fortuner in India while the models like Prado, Land Cruiser, Camry and Prius are imported as completely built units (CBUs) and multi-purpose vehicle-Innova. The company expects to close the current year with sales figures that read 73,000 units, up from 54,500 vehicles sold last year.
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