Toyota Denies Report of Three New Manufacturing Plants Coming up in Maharashtra

Toyota India has denied a report by Japanese news agency Nikkei that it is planning to commission three new manufacturing plants in Maharashtra. The Friday report claimed that Toyota is planning to nearly triple its production output in India over the next five years to cater to emerging markets, as it struggles with stagnation in North America and even China. Nikkei estimates the company’s total investment at 300 billion yen (approximately ₹18,183 crore). 

No location in Maharashtra has been specified. However, in 2024, the company signed an MoU with the Government of Maharashtra to explore the possibility of setting up a new greenfield plant in Aurangabad (now Chhatrapati Sambhajinagar).

In response to a request for comment by ACKO Drive, a Toyota spokesperson said “Whilst we are constantly reviewing our production arrangements, no decision has been made regarding the construction of a new factory, as recently reported by Nikkei Asia”.

Such a move could bring Toyota’s manufacturing output in India to around 10 lakh units per year, nearly tripling its current capacity of 3,42,000 units. The company’s first manufacturing plant in India was established in Bidadi, Karnataka in 1997, with its second one coming up next to it in December 2010. Production is split between them at 1,32,000 units and 2,10,000 units respectively with the former focusing on the Innova HyCross, Innova Crysta, Fortuner, and Legender while the latter handles the Camry Hybrid, Urban Cruiser Hyryder, and Hilux. A third plant at the same site has previously been confirmed. An India R&D Centre in Bidadi has also been announced, along with a Centre of Excellence in partnership with Wipro 3D.

The company sold 3,88,801 units in calendar year 2025, with 3,51,580 units sold in the domestic market and 37,221 exports. This was its highest-ever calendar year sales, marking 19 percent year-on-year growth. With these purported new facilities, India would become Toyota’s fourth-largest production base. The company would be positioned to scale up exports, with the Middle East and Africa its likely target markets.

According to Nikkei, the first of the three proposed manufacturing plants would begin operations in 2029, with the rest following after 2030. India is now the world’s third-largest car market. Other global companies that have recently announced new investments in automotive manufacturing in India include Honda, Suzuki, Foxconn, VinFast, Harman, and Tsuyo.