Toyota Kirloskar Motor (TKM), a leading car manufacturer in India, announces to make a huge capital investment of Rs 3,200 Crore for its second plant in India, which is under construction at Bidadi near Bangalore.
Previously, the company had plans to put in a sum of Rs 1,647 Crore for the construction of the establishment and to fulfill the requirement of the basic equipments. The extra amount of Rs 1,553 Crore is aimed at developing specialised equipments essential for manufacturing a new compact car.
The second plant is scheduled to begin operations in 2010 and will produce passenger cars with an initial annual production of 100,000 cars. It will be involved in the production passenger cars including the new Corolla and a new small car. Once the second plant starts it production, the total annual production capacity would increase to 160,000 vehicles.
This plant is established keeping in mind the broad needs and requirements of car customers in India, a country where the demand of cars is expanding rapidly and the market is growing exponentially.