Toyota says Prius launch plan on track in India

Toyota Motor Corp may be facing its worst global crisis yet due to quality concerns but its Indian operations appear to be immune from it, at least for now.

Toyota Kirloskar Motors (TKM) seems firm on its decision to launch the Prius hybrid in India even as speculation mounts over a global recall and its possible impact on Indian launch plans.

Shekar Viswanathan, deputy MD (commercial) at TKM, said “Prius will be sold in India, there is no revision of plans for the Prius”.
But is the launch dependent on TKM getting some fiscal incentives to support Prius during the forthcoming Union Budget?

The car would cost between Rs 26.55 lakh and Rs 27.86 lakh without any fiscal support since it would be imported as a CBU.
Viswanathan says the company has requested the government for incentives.

“We are expecting the government to play a role in encouraging environment-friendly vehicles. We have not specified what is needed but there should be some benefit for the consumer buying an environment-friendly vehicle,” he said.

TKM plans to import 200 units of the car and begin selling it by March-end. Prius is the world’s first mass-produced and largest-selling hybrid vehicle, having sold nearly 1.5 million units so far.    

TKM plans to import 200 units of the car and begin selling it by March end. Prius is the world’s first mass-produced and largest-selling hybrid vehicle, having sold nearly 1.5 million units so far. TKM has already received orders for 54 units in India.

The global trouble with Prius follows close on the heels of Toyota’s recall of 8 million cars (including Corolla and Camry) around the world because of sticky accelerator pedals.

A TKM official said the parent had sorted out problems with the Prius and has decided on remedial measures to be taken. “But we are not impacted because we haven’t begun selling the car in India as yet,” he said.

Meanwhile, Viswanathan refuted reports that any recall was being done for either the Corolla or the Camry in India. “Camry had a floor mat issue in some markets but not in Japan and the car we sell in India is sourced from Japan so no recall is needed. As for Corolla, it is manufactured in India on Toyota Motor Corp specs, so no impact so far.”