Toyota is setting up its first India R&D hub in Bengaluru, aiming to scale up to 1000
In a strategic move signalling India’s rising importance in its global operations, Toyota Motor Corporation is preparing to establish its first research and development (R&D) center in the country. The initiative marks a major step forward in Toyota’s long-term vision for cleaner technologies and a deeper foothold in emerging markets.
The new R&D facility will be located in Bengaluru, close to Toyota Kirloskar Motor’s manufacturing plant in Bidadi. Initial operations are expected to commence with a team of around 200 engineers, with plans to scale up to approximately 1000 by 2027.
While Toyota Kirloskar Motor declined to comment on the development, and Toyota’s global representatives have yet to issue an official statement, the move aligns with broader corporate efforts to position India as a central hub in its international strategy.
Last year, Toyota restructured its regional operations to make India a base for overseeing markets in the Middle East, East Asia and Oceania. The company also unveiled investment plans aimed at transforming India into a global center for sustainable mobility solutions, including electric vehicles.
Toyota, which currently sells hybrid and gasoline-powered vehicles in India, has yet to introduce plug-in EVs to the market. However, a growing partnership with Suzuki Motor Corporation is playing a key role in shaping its product roadmap. Notably, Toyota holds a 5.4% stake in Suzuki, and the two companies are collaborating on several models, including Toyota’s upcoming Urban Cruiser EV — a rebadged version of Suzuki’s e-Vitara, expected to roll out from Suzuki Motor Gujarat in 2025.
The new R&D facility is part of Toyota’s broader strategy to integrate engineering and product development with Suzuki’s operations in India. The automaker is said to be closely studying Suzuki’s expansive R&D unit in Rohtak, which houses about 3000 engineers and is considered one of India’s most advanced automotive innovation hubs.
This will be Toyota’s third R&D center in the Asia-Pacific region outside Japan, following existing facilities in China and Thailand. Initially focused on the Indian market, the Bengaluru center could eventually take on a global role, akin to Mercedes-Benz’s tech center in the same city, which employs over 9000 engineers.
Toyota had previously explored the possibility of setting up an R&D base in India in 2010 but did not proceed. The current decision reflects a renewed commitment to India, especially as the automaker faces headwinds in China, where local brands such as BYD are rapidly gaining market share.
The timing also coincides with leadership changes at Suzuki, following the passing of long-time executive Osamu Suzuki, adding urgency to the collaboration between the two Japanese automotive giants.
With global EV adoption accelerating and India emerging as a critical market for sustainable transport, Toyota’s new R&D hub underscores the company’s intent to remain competitive and innovative in the evolving mobility landscape.
