Toyota Plans New SUVs and MPVs for India with Hybrid and Electric Options

Toyota Kirloskar Motor is preparing to expand its vehicle lineup in India with new SUVs and MPVs. Most of these upcoming models will be developed in-house by Toyota, marking a shift from its previous reliance on badge-engineered Maruti Suzuki vehicles. This move comes as Toyota strengthens its position in India, now one of its top four global markets.

Key Highlights

• Toyota to invest over USD 3 billion in India with new plants in Maharashtra and Bengaluru
• Diesel-only Innova Crysta to be phased out by 2027 due to CAFE 3 norms
• Hybrid and flex-fuel versions of Innova Hycross to target fleet and eco-conscious buyers
• New Land Cruiser FJ and electric three-row MPV planned for Indian market expansion

Expansion and Investment Plans

Toyota has announced an investment exceeding USD 3 billion in India. The company will build a new manufacturing plant in Chhatrapati Sambhajinagar, Maharashtra, and another facility in Bengaluru. These plants will support Toyota's goal to increase local production and reduce dependence on Maruti Suzuki models like the Glanza, Hyryder, Rumion, and Taisor.

The company is also targeting an annual production capacity of about 90,000 units from the new Chhatrapati Sambhajinagar plant. Of these, 40,000 units are planned for export to regions such as the Middle East. This expansion aligns with Toyota's broader strategy to grow its presence in India and international markets.

Upcoming Models and Powertrain Shifts

The diesel-only Innova Crysta MPV will be phased out by 2027 due to the implementation of CAFE 3 emission norms. To fill this gap and meet rising MPV demand, Toyota will introduce a lower-spec hybrid version of the Innova Hycross, internally codenamed 840D. This model will target fleet buyers and feature fewer amenities to keep costs manageable.

Toyota has already showcased flex-fuel prototypes of the Innova Hycross at the 2024 and 2025 Bharat Mobility Expo events. These prototypes can run on ethanol blends above 20 percent. With government support for ethanol-blended petrol, a production version is likely in the future. The hybrid powertrain will help replace the outgoing diesel engine and address fuel efficiency concerns linked to ethanol-blended fuels.

To expand its MPV range, Toyota will also launch its own version of Maruti's upcoming all-electric three-row MPV, codenamed YMC. This vehicle will use the Heartect-e platform, which also supports the Ebella, and will compete with models like the BYD eMAX 7.

Land Cruiser and Fortuner Updates

Toyota plans to launch the new Land Cruiser FJ in India by the end of 2028. This model may be the first to roll out from the new Chhatrapati Sambhajinagar plant. The Land Cruiser FJ will use the IMV platform, which also underpins the Fortuner, Innova Crysta, and Hilux. Due to emission regulations, diesel engines will not be offered for this model in India. Instead, it will feature a 163hp 2.7-litre petrol engine, with strong hybrid and plug-in hybrid options also planned.

The third-generation Fortuner, internally codenamed 582D, will retain its 2.8-litre diesel engine and a 48V mild-hybrid system. It will continue to use a ladder-frame chassis, as its lower sales volume allows it to meet stricter emission standards.