Toyota has started constructing a plant near Bangalore to make engines for its new Indian-made Etios compact car from autumn 2012 with annual capacity of 100,000.

The Toyota Kirloskar Auto Parts unit in Bidadi will also start producing Etios transmissions early in 2013 with capacity of 240,000, Toyota told Kyodo News.

Plant construction will cost about JPY9bn and the completed plant will create about 500 new jobs, the automaker added. 

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