Japanese car maker Toyota Motor today said it will double its investment in India to Rs 2,800 crore as part of its plan to launch a 'strategic small car' in the country by 2010.
"We will double the investment in the future, which will go up to Rs 2,800 crore from Rs 1,400 crore," Toyota Motor's Senior Managing Director Akira Okabe said at the foundation stone laying ceremony of its second plant here.
Earlier, Toyota Kirloskar Motor (TKM), the joint venture of the Japanese entity in India, had announced its plan to set up a second manufacturing facility with an annual capacity of 1,00,000 units, next to its existing plant.
TKM's Vice-Chairman Vikram Kirloskar said doubling of the investment would take place within three-four years from the time the second plant becomes operational (2010).
On the proposed small car, Kirloskar said its design is not yet ready and "we are still working hard". But it would not be from the existing models of TMC. "We are working on engine and emission (new car)", he added.
Managing Director of TKM Hiroshi Nakagawa said the new plant would build a "small strategic vehicle" (small car).
Currently, TKM produces the Corolla and the IMV series of Innova (MUV), with annual production of 60,000 vehicles in 2007 (an 18 per cent year-on-year increase).
TMC holds 89 per cent equity stake in Toyota Kirloskar and the Kirloskar Group the remaining 11 per cent. TKM started production in its first plant in December 1999. TKM currently has 3,000 employees.
