The eminent car maker Toyota is finally going to establish its strong presence in the Indian small-car market and with their upcoming ventures, they are planning to give a huge threat to some already established small-car segment brands like Maruti Suzuki and Hyundai Motor. The Japanese carmaker along with its owned company Daihatsu Motor, are expected to produce some new and exclusive range of small vehicles to India in the year 2020-2021.
A few days before, Toyota and Daihatsu have announced that they are planning to establish an internal company that will go to take care of the compact vehicles for emerging markets, from product planning to production preparation. They are expecting that the new company will be formed by January 2017.
The groundwork has already been completed through a plethora of studies that are commissioned over the years. The Toyota-Daihatsu combine will target the A and B segments, where vehicles are typically priced below Rs 10 lakh. Till now, these segments are dominated by Maruti and Hyundai Motor and currently, Toyota has only a limited presence here with the Etios range.
The new cars under the venture may be branded Toyota or Daihatsu, or it could be an all-new brand in line but till now the company is unable to conclude any final and robust decision regarding this.
The proposed internal organisation will go to take care the entire development and launching part of the compact vehicles in the emerging markets while Daihatsu will keep its focus on the manufacturing part.
Vikram Kirloskar, vice chairman of Toyota Kirloskar, conveyed that the initial target of the new company would be Asian markets and but later depend on the existing bases of operation, they will definitely expand their target market.