Toyota India is eyeing substituting imports with locally made engines and transmissions.
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Local joint venture Toyota Kirloskar Motor may set up the new plant at its planned second factory in Bangalore.
“In order to localise production (more), in future I am very keen to set up a transmission and engine unit in the second plant,” Toyota Kirloskar Motor (TKM) managing director Hiroshi Nakagawa told Press Trust of India on the sidelines of a conference.
TKM’s second car plant will have an initial capacity of 70,000 units when it launches a new small car designed for India by early 2011 but the firm may increase capacity to 200,000 units if there is sufficient demand.
