Toyota is expanding its manufacturing footprint in India with plans to establish a new vehicle production facility in Maharashtra, underlining the Japanese automaker’s long-term commitment to one of the world’s fastest-growing automobile markets.
The company’s Indian arm Toyota Kirloskar Motor announced that the new manufacturing plant will come up in the Bidkin Industrial Area in Maharashtra and is expected to commence production in the first half of 2029. The facility will focus on manufacturing a new SUV model and is aimed at strengthening Toyota’s business foundation in India while also supporting exports to neighbouring regions.
New SUV-focused facility
The upcoming plant will have an annual production capacity of 100,000 vehicles and is expected to generate employment for nearly 2,800 people.
The facility will house key manufacturing operations including stamping, welding, painting and assembly, enabling end-to-end vehicle production under one roof.
Toyota said the plant is being designed to steadily deliver vehicles to Indian customers as well as overseas markets in surrounding regions, reflecting the company’s broader strategy of positioning India as an important manufacturing and export hub.
While the company did not disclose the investment outlay for the project, the expansion marks one of Toyota’s significant manufacturing bets in India in recent years.
India emerging as strategic market
Toyota noted that its journey in India has evolved alongside the development of the country’s automotive ecosystem and acknowledged the contribution of industry pioneers and local stakeholders in shaping its growth trajectory.
The automaker said it plans to continue strengthening its production structure to respond flexibly to future demand growth and evolving market conditions in India and nearby regions.
The new Maharashtra facility is expected to complement Toyota’s existing manufacturing operations at Bidadi in Karnataka, where the company currently operates two plants with a combined installed production capacity of up to 3,42,000 units annually.
Toyota Motor Corporation holds an 89 per cent stake in Toyota Kirloskar Motor, while Kirloskar Systems Limited owns the remaining 11 per cent.
Demand momentum remains strong
The expansion announcement comes at a time when Toyota Kirloskar Motor continues to witness healthy sales growth in the Indian market.
The company reported total sales of 32,086 units in April 2026, registering a 17 per cent year-on-year growth compared to 27,329 units sold during the corresponding period last year.
The April performance included domestic sales of 30,159 units and exports of 1,927 units, indicating sustained demand across segments.
Toyota said its growth momentum has been supported by a combination of expanding product offerings, technological innovation and a strengthening dealer network.
The company also indicated that despite evolving industry dynamics, customer demand has remained stable, particularly in utility vehicle and premium segments where Toyota has steadily expanded its presence.
Maharashtra gains another major auto investment
Toyota’s proposed entry into Maharashtra’s Bidkin Industrial Area is expected to further strengthen the state’s position as a major automotive and manufacturing destination.
The move also aligns with India’s broader push to attract global manufacturing investments and build localised automotive supply chains as automakers increasingly look at India both as a domestic growth engine and export base.
With SUV demand continuing to dominate the Indian passenger vehicle market, Toyota’s latest expansion signals its intent to deepen market penetration while preparing for long-term volume growth in the region.