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August 29, 2016 02:00 AM

Toyoda Gosei adds fourth Indian plant

Chris Sweeney
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    An Artists rendering of Toyoda Gosei's latest factory in India.

    BAWAL, India—Toyoda Gosei Co. Ltd. is establishing its fourth plant in India.

    The automotive supplier is setting up shop in Bawal with a facility that is projected to be operational in March of 2017, employing 440 at that time. Toyoda Gosei is investing $8.2 million in the new plant, which includes constructing a 26,250-sq.-ft. building, populating it with equipment and a 65,600-sq.-ft. plot of land.

    A company spokeswoman said the firm did not receive any incentives from local authorities. Construction began in June 2016 and will be completed in December. Equipment will begin to be installed in November.

    The new facility will produce air bags and rubber weatherstrips with Toyota, Honda and Maruti—a subsidiary of Suzuki Motor Corp.—as the primary customers, giving Toyoda Gosei localized production of all four of its core product lines in the region, the spokeswoman said. The firm currently produces air bags/safety systems, interior and exterior plastic parts, and functional components/rubber hoses in the region through its existing footprint.

    “It's great that we can serve our customers with all of our product lines so we can meet all of our customers' needs,” the spokeswoman said.

    Starting in October 2017, India is going to require new collision tests for all vehicles. The spokeswoman said the firm is increasing its production to meet the predicted growth for air bags in the region.

    Production at the new facility will be split about evenly between the two product lines, the spokeswoman said.

    She added that 440 employees will transfer from the company's current facility in Neemrana, India, about 16 miles southwest of Bawal. The Neemrana plant will increase employees according to production. The number of employees by March 2018 for both the Bawal and Neemrana plants was estimated at 1,300.

    The firm will invest an additional $2.8 million in Neemrana for production equipment focusing on existing processes.

    Headquartered in Kiysou, Japan, Toyoda Gosei produces rubber and plastic automotive parts with 100 plants and offices in 18 countries.

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