Kiyosu, Japan - Toyoda Gosei Co., Ltd is reorganising its operations in India in a bid to optimise production network in the country.
As part of the move, the automotive parts manufacturer is transferring all its shares in Toyoda Gosei South India Pvt. Ltd. (TGSIN) to Toyoda Gosei Minda India Pvt. Ltd. (TGMIN) in 2020, the company announced 2 April.
TGSIN supplies interiors and exteriors and other parts mainly to Toyota Motor in South India. TGMIN supplies airbags, steering wheels, and other parts mainly to Suzuki Motor in North India.
Set up in 2008, TGMIN is a Neemrana, Rajasthan-based joint venture business between Toyoda Gosei (50.1%) and Uno Minda Group (49.9%).
After the transaction, TGMIN will own 95% of TGSIN shares, while Toyota Tsusho Corp. will own the remaining 5%.
With this restructuring, Toyoda Gosei said it intended to develop a “more flexible supply system in India that is not bound by product categories.”
India is once of the top markets targeted by Toyoda Gosei’s medium and long term 2025 business plan.
Having opened a sales and engineering office in Gurgaon, near Delhi in 2018, Toyoda Gosei said it intended to increase its development and production capacity in the emerging market.