Toyota Group plans to invest 48 billion rupees ($624 million) in the production of electric vehicle components in India as the Japanese automaker works to achieve carbon neutrality by 2050.
According to a statement released by the group on Saturday, Toyota Kirloskar Motor and Toyota Kirloskar Autoparts have signed a memorandum of understanding with the southern state of Karnataka to invest Rs 41 billion. The rest (Rs 7 billion) will come from Toyota Industries Engine India.
Toyota is aligning its environmental goals with India’s ambitions to become an industrial powerhouse, although the South Asian nation’s transition to green transportation has been slower than other countries such as China and the US.
Exorbitant prices, a lack of choice of EV models and an insufficient number of battery charging stations have slowed down the spread of EVs in India.
Vikram Gulati, Vice Chairman of Toyota Kirloskar, noted that his company is looking to hire 3,500 new people directly to meet the needs of the new project. He added: “With the construction of a supply chain system; We expect more jobs later.”
According to Crisil’s forecast, Indian automakers could generate $20 billion in EV revenue through fiscal year 2026. By 2040; According to Bloomberg New Energy Finance (BloombergNEF), 53% of new car sales in India will be electric, compared to 77% in China.
Source: El Iktisad
