Toyoda Gosei Co. Ltd. continues to strengthen its presence in India.
The firm, through its joint venture Toyoda Gosei Minda India Pvt. Ltd., celebrated the opening of its fifth manufacturing plant in India, located in Dekavada.
A company spokesman said in an email that the firm intends to invest about $27.2 million through fiscal year 2021, which includes securing the land, buildings and production equipment. The site spans about 194,000 square feet and sits on about 807,300 square feet of land.Toyoda Gosei intends to employ about 330 by the end of March 2021.
The company said the site became operational in October and will produce airbags, weatherstrips and other automotive parts. The spokesman said the site will help Toyoda Gosei capitalize on what is projected to be a growing region and to help better serve one of its largest customers, Suzuki Motor Gujarat Pvt. Ltd., which he said is expanding capacity in India.
"Production volume in India will grow from 4 million to 10 million units per year by 2030," he said. "Especially Suzuki Motor Gujarat, which is one of the main customers of TG and has the largest share in the market."India and China are two focus markets for Toyoda Gosei as part of its 2025 business plan, which has the goal of generating about $317 million in sales in India by 2025. While the firm would not disclose its current sales level in the region, it said its 2025 goal would be more than double its current business.
The spokesman said demand for air bags, TG's primary product line, is driving growth forward, as well as increased automotive demand.
TG operates four other facilities in India: Toyoda Gosei South India Pvt. Ltd., located in Banadur, employs about 500 people; Minda TG Rubber Pvt. Ltd. is located in New Delhi and employs about 200; its Neemrana site employs about 1,200; and its factory in Bawal employs about 400.
In June, TG opened a development center there in a suburb of New Delhi tasked with increasing sales in the region, and also located engineering and sales operations at the site. The firm said these operations were previously situated at TGMIN's head office in its Neemrana Plant. The site currently employs 10, but TG said when the move was disclosed in June that it intends to increase employment to 20 by 2020.
