This is why Toyota may ban production in India

This is why Toyota may ban production in India
Highlights

The company feels that the ban is unfair because the auto industry’s point of view was not heard.Toyota Kirloskar Motor is one of the automakers to be hit hard by the Delhi diesel ban. Now that the ban on registration of diesel vehicles that have engine displacement over 2.0-litre has been extended to Kerala as well, it’s reasonable to assume that more and more states will gradually be added to th

The company feels that the ban is unfair because the auto industry’s point of view was not heard.Toyota Kirloskar Motor is one of the automakers to be hit hard by the Delhi diesel ban. Now that the ban on registration of diesel vehicles that have engine displacement over 2.0-litre has been extended to Kerala as well, it’s reasonable to assume that more and more states will gradually be added to the list.

Which means, future of the immensely popular Innova Crysta and the eagerly anticipated next-gen Fortuner in India is facing uncertainty. A recent PTI report quotes Shekar Viswanathan, director and chairman of TKM, as saying:

The statement suggests that TKM may not launch any new products in India that falls within the purview of the diesel ban. Given that majority of Toyota’s business in India comes from the premium models, further extension of the ban would cripple its operations.

However, when asked if the company is considering closing operations in India. Mr. Viswanathan replied that such move would result in direct and indirect job losses to the tune of 25,000 and the company will not abandon its employees.

This article has first appeared in Rushlane.com

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