Toyota Motor is making a strategic move to enhance its presence in India by establishing its inaugural research and development center through its local division, spotlighting the country’s growing significance in the automaker’s global strategy.
The upcoming R&D center in Bengaluru is set to commence operations with an initial team of approximately 200, expanding near Toyota Kirloskar Motors’ existing Bidadi factory. Plans are in place to grow this team to about 1,000 engineers by 2027, according to sources familiar with the matter who requested anonymity.
The expansion underlines Toyota’s intention to position India as a critical hub for its Middle East, East Asia, and Oceania operations, a strategy reinforced by last year’s organizational realignment. The new R&D venture is in line with Toyota’s commitment to advancing clean and green technologies as key investment priorities in India.
Despite a strong focus on expanding greener technology footprints, Toyota has not yet ventured into selling plug-in vehicles in India, focusing instead on petrol and hybrid models.
The company’s approach also utilizes its partnership with Suzuki Motor to boost sales in the world’s third-largest automotive market. Toyota holds a 5.4% stake in Suzuki, according to Bloomberg’s data.
Furthermore, Toyota is reported to be observing Suzuki’s extensive R&D operations in Rohtak, India’s eminent auto engineering hub. This hub employs approximately 3,000 engineers and serves as a significant point of reference for Toyota as it embarks on its own R&D initiatives in the country.