Toyota signs MoU with Maharashtra govt. to set up a new factory

Toyota will invest Rs 25,000 crore into the new manufacturing plant.

Toyota Kirloskar Motors (TKM) has signed a memorandum of understanding (MoU) with the Maharashtra government to set up an automobile manufacturing plant in Chhatrapati Sambhajinagar.

According to Toyota, it will invest Rs 25,000 crore into the new facility, which is expected to generate employment for 8,000 people and an additional 16,000 people will get employment in ancillary units.

The new factory is expected to begin operations in 3 years. It will manufacture both ICE and electric vehicles and have an annual production capacity of around 4 lakh units.

This will be Toyota’s third manufacturing unit in India. The carmaker currently has two units in Bidadi, Karnataka, which is also being expanded. In 2023, Toyota announced an investment of Rs 3,300 crore to expand the production capacity of the Bidadi plant by 1 lakh units annually. It is expected to become operational in 2026.