Toyota is investing $ 624 million to manufacture EV parts in India

Toyota The Japanese carmaker plans to invest 48 billion rupees ($ 624 million) in electric vehicle parts in India to achieve carbon neutrality by 2050.

Toyota Kirloskar Motor and Toyota Kirloskar Auto Parts have signed a memorandum of understanding with the southern state of Karnataka to invest Rs 41 billion, the panel said in a statement on Saturday. The rest will come from Toyota Industries Engine India.

Although the transition to clean transportation in South Asia is slower than in other countries such as China and the United States, Toyota is incorporating its own green goals to become India’s manufacturing hub. Battery vehicles are slowly being accepted in India due to lack of adequate charging at stations.

“From a live job standpoint, we are looking for about 3,500 new jobs,” Toyota Kirloskar vice president Vikram Gulati told the Press Trust of India. “As the supply chain system develops, we expect a lot more to come in the future.”

Battery-powered scooters have doubled sales of electric vehicles in India.

Crisil estimates that Indian automakers will be able to generate $ 20 billion in revenue from electric vehicles by fiscal 2026. By 2040, 53% of new car sales in India will be electric, compared to 77% in China, according to BloombergNEF.