Toyota to Establish New R&D Facility in India by 2027

Toyota plans to open a new R&D facility in Bengaluru, India by 2027, creating 2,000 jobs and expanding with an additional 3,000 engineers. This center will initially address Indian market needs before evolving to serve global requirements, potentially making India a key hub for Toyota’s R&D. The move also strengthens Toyota’s collaboration with Suzuki.

Toyota is poised to establish a Research and Development (R&D) facility in India by 2027, which represents a significant advancement for the Indian automotive sector. This facility will be set up by Toyota’s Indian subsidiary, which has been operational for over twenty-five years, and will be situated in Bengaluru, near the existing manufacturing site in Bidadi.

According to reports by Bloomberg, this new R&D center will mark Toyota’s third unit in the Asia-Pacific (APAC) region, following installations in Thailand and China. The facility is projected to create employment opportunities for approximately 2,000 workers, with the potential for an additional 3,000 engineers to join in the subsequent two years.

Initially, the R&D center will cater to the needs of the Indian market and will progressively expand operations to target global automotive requirements. Over time, this initiative could position India as a central hub for Toyota’s R&D and manufacturing, with a focus on developing models for various regions including the Middle East, East Asia, and Oceania.

In a strategic move, Toyota plans to assess Suzuki’s R&D operations located in Rohtak, an automotive engineering hub that employs around 3,000 individuals. Toyota and Suzuki share a collaborative partnership that has successfully led to the development of various models, including the Toyota Urban Cruiser HyRyder and Toyota Innova Hycross, alongside several re-engineered models.

Consideration for an R&D office in India was initially made back in 2010. Currently, Toyota is keen on enhancing its collaboration with Suzuki, specifically to integrate R&D with product development processes, particularly relating to electric vehicles (EVs) in India. Toyota holds a 5.4% stake in Suzuki, emphasizing the significance of this partnership.

As part of forthcoming developments, Maruti Suzuki is set to launch the e Vitara, its inaugural electric vehicle in India. Concurrently, Toyota has introduced its version of the e Vitara, branded as the Urban Cruiser EV, which was unveiled last year. Both vehicles will be produced at Suzuki’s Gujarat plant, facilitating exports to various international markets.

In summary, Toyota’s decision to establish an R&D center in India by 2027 signals the company’s commitment to enhancing its presence within the Indian automotive market. This initiative promises to generate significant employment opportunities while facilitating technological advancements. By strengthening its partnership with Suzuki, Toyota aims to optimize R&D and product development, particularly in the electric vehicle sector, thereby positioning India as a crucial hub for its global operations.

Original Source: www.financialexpress.com