Bengaluru-based Toyota Kirloskar Motor, a Toyota Motor Company and Kirloskar Group JV, currently sells a couple of hybrid models in the country, but it does not have battery electric vehicles in its product portfolio as of now
A senior Toyota executive emphasized the necessity of supporting a diverse range of green technologies in the Indian automotive sector to achieve carbon neutrality goals. The executive stated that various technology solutions at different price points are essential to cater to the diverse customer base and reduce carbon emissions effectively.
During an interaction, senior Toyota executives stressed the importance of treating all technologies fairly to achieve carbon reduction targets. Pras Ganesh, Co-Executive Vice President of Toyota Daihatsu Engineering and Manufacturing, highlighted that India's vast size allows for the utilization of multiple solutions, including hybrid and battery electric technologies. He responded to a query regarding Toyota's product roadmap strategy in a country where the government favors battery electric vehicles (BEVs) over hybrid cars in terms of taxation.
Currently, the tax burden on hybrid vehicles in India is 43 percent, including the Goods and Services Tax (GST), while BEVs are taxed at approximately 5 percent. Toyota Kirloskar Motor, based in Bengaluru and a joint venture between Toyota Motor Company and Kirloskar Group, presently offers a couple of hybrid models in the Indian market but does not have a BEV in its product portfolio.
Ganesh expressed the viewpoint that customers should have the freedom to decide which technology suits their needs best. Toyota believes that to provide mobility for all, it must offer different solutions that cater to various customer preferences and requirements.
Ganesh also noted that the Indian government is paying attention to BEVs but is also supportive of other alternative green technologies. Prime Minister Narendra Modi has stressed the need for a sustainable mobility ecosystem in harmony with the environment. The government is supportive of various technologies, including hybrid electric vehicles, BEVs, ethanol, biofuel blending, and green hydrogen for commercial vehicles.
Nevertheless, Ganesh suggested that an emission-based vehicle taxation system, similar to Thailand's approach, would be more appropriate. Such a system, based on CO2 emissions, aligns with the objective of reducing carbon emissions effectively.
Toyota Kirloskar Motor aims to provide a wide range of clean energy technology options, including hybrid vehicles, electric vehicles, fuel-cell electric vehicles, and flex-fuel vehicles, in line with the government's goal of reducing dependence on fossil fuels. They recently unveiled a prototype of the world's first BS VI (Stage II) electrified flex-fuel vehicle.
In various Asian markets, Toyota remains committed to a multi-pathway approach, tailoring electrification solutions to meet the specific needs of customers and regions. The company takes into account economic, energy, infrastructure, and usage requirements to offer a comprehensive approach, recognizing the diverse factors influencing the journey towards carbon neutrality in Asia.
To meet the needs of different customer segments, including low-end and high-end customers and both passenger and commercial vehicles, Toyota emphasizes the importance of diversification. They are also planning to introduce the new IMV 0 model, designed to serve lower-income customers with greater customizability. The IMV project, initiated in 2004, includes products like the Hilux and Innova, serving the mobility needs of both private and business users.