Toyota cuts output by 30 percent, India investment plans on trackDecember 15th, 2008 - 8:36 pm ICT by IANS
New Delhi, Dec 15 (IANS) Toyota Kirloskar Motor Ltd (TKM), a joint venture between the Japanese auto giant Toyota and the Kirloskar Group, Monday said its Rs.32-billion (Rs.3,200-crore) India investment plans were on track although the company has cut production by 30 percent in December.“Everywhere else in the world, Toyota has put on hold all investments for expansions, except India,” TKM managing director Hiroshi Nakagawa told reporters.
He said the company has revised its sales target for this year due to the slowdown in the auto market.
In November the company produced 2,886 units but the slowdown in the Indian auto market has forced it to cut production in the current month.
“We will be producing 30 percent less in December due to falling sales. We will decide about the future productions for January and February depending on the market condition for this month,” Nakagawa added.
TKM earlier announced a sales target of 60,000 units for 2008. Last year, the company’s sales in Indian market stood at 54,181.
TKM decided to cut production in December following a 48.55 percent year-on-year fall in November sales. The company sold 2,087 units last month, down from 4,056 units a year earlier.
The company is also planning to launch the CNG (compressed natural gas) version of its utility vehicle ‘Innova’.