TKAP has started exporting the e-Drive (a key part of the electrified powertrain) to Japan, and to Indonesia and Thailand. The fact that Toyota India is exporting the e-Drive to Japan is a shot in the arm for the Make in India initiative, considering that quality standards of Japan are so tough to meet.
In a case of local manufacturing excellence, Bengaluru-based Toyota Kirloskar Auto Parts (TKAP) has started exporting the e-Drive (a key part of the electrified powertrain) to Japan, in addition to markets such as Indonesia and Thailand.
The e-Drive is an advanced automotive technology used in hybrid electric vehicles (HEVs) such as Toyota Urban Cruiser Hyryder and Toyota Innova Hycross, as well as in Maruti Suzuki Grand Vitara, which Toyota Kirlorkar Motor (TKM) manufactures for Maruti Suzuki, under the Toyota-Suzuki global tie-up. The particular e-Drive being exported is the one used in the Urban Cruiser Hyryder and the Grand Vitara (the one used in the Innova Hycross is bigger in size and is still being imported).
While in simple words the e-Drive can be defined as a set of components and systems that convert electricity into power in the drive system of an HEV, the technology is all but simple.
“The e-Drive is a very complex technology, mastering which requires years of planning and months of execution,” a senior member of the Society of Automotive Engineers India told FE. “The fact that Toyota India is exporting it to Japan is a shot in the arm for the Make in India initiative, especially considering that the quality standards of the Japanese market are the toughest to meet in the world.”
Sudeep Dalvi, senior vice-president & director, and chief communication officer at TKM, told FE that while Toyota is taking the hybrid route to electrification of mobility, it’s taking a business sustainability route towards localisation of parts needed for that electrification. “Whichever technology we introduce in India, our aim is to localise that and develop a vendor base for the same,” he said. “We aim to reach carbon neutrality by empowering our vendors.”
This e-Drive, however, isn’t fully localised yet. A TKAP official told FE that localisation levels in value terms are a little over 50%, as certain subcomponents have very stringent quality requirements, for which the company is working with local suppliers (to raise their quality standards).
SOPs for Auto PLI will boost local manufacturing
KN Prasad, the managing director of TKAP, has said that the standard operating procedures (SOPs) for the Auto Sector Production Linked Incentive (PLI) scheme will go a long way towards boosting the local manufacturing sector and reducing dependence on imports.
“The SOPs consist of simplified procedures with minimum paperwork,” he said. “This will help speed up the overall process of application and approval process.”
On April 27, the Ministry of Heavy Industries had released SOPs under the PLI Auto scheme to testing agencies. With this, applicants under the scheme can submit applications for testing and certification of advanced automotive technology (AAT) products, which will help them qualify for incentives under the PLI Auto scheme.
Bengaluru-based TKAP, a JV between Toyota Motor Corp, Japan, Aisin Seiki Co, Japan, and Kirloskar Systems Ltd, India, manufactures axles, propeller shafts and transmissions for vehicles and supplies these to Toyota in India and globally, even as certain parts for Toyota cars are still being imported.
Prasad added that currently most of the advanced automotive technology components are being imported because of an almost non-existent supply chain base in India. “One of the key factors to get incentives under this PLI scheme is minimum domestic value addition criteria, and this will encourage more localisation, boost domestic manufacturing sector and reduce dependence on imports, thereby creating more job opportunities,” he said. “It would also enhance India’s export capabilities in the high-end automotive technology components.”
Source: PTI
