Japanese automotive giant Toyota is gearing up to make a splash in the Indian market with its upcoming mid-size SUV, codenamed 340D. This strategic move is part of Toyota’s ambitious plans to expand its presence in India and challenge popular models like the Fronx, Baleno, and XUV700, all while keeping affordability at the forefront. Additionally, Toyota is planning to establish its third car manufacturing plant in the country to bolster production capacity.
Post-Successful Partnership with Suzuki
Toyota’s decision to venture into the mid-size SUV segment comes on the heels of a fruitful partnership with Suzuki Motor, which has significantly strengthened Toyota’s domestic sales in India.
New Plant, New Production
Reports suggest that Toyota’s third manufacturing plant in India will have an initial production capacity of 80,000 to 120,000 vehicles annually, with the potential for expansion to nearly 200,000 units. Currently, Toyota operates at a capacity of 400,000 units per year in the country.
The company has already begun work on the new mid-size SUV, codenamed 340D, which is expected to make its debut in early 2026. This SUV could be manufactured in Toyota’s new factory.
Positioned strategically between the Urban Cruiser Highrider and the larger Innova Highcross MPV in Toyota’s portfolio, the company aims to produce 60,000 units of the new SUV annually, collaborating closely with its suppliers.
Powertrain Details
While specific details about the new SUV are still emerging, previous reports suggest that it will be based on the new TNGA platform, shared with the Innova Highcross and the global model Corolla Cross. Expectations include a long wheelbase, offering both 5 and 7-seat configurations, and possibly featuring a robust 2.0L hybrid powertrain, akin to the new Highcross.
Mini Land Cruiser on the Horizon
Toyota’s strategic partnership with Suzuki has yielded remarkable results in India, with nearly 40% share in total sales attributed to models like the Glanza hatchback and Urban Cruiser Highrider, both based on Suzuki’s Baleno and Grand Vitara, respectively.
Furthermore, Maruti Suzuki currently utilizes two-thirds of Toyota’s production capacity for joint vehicle manufacturing. Toyota has set an ambitious target of achieving a production capacity of 500,000 vehicles per year in India before the end of this decade.
In an intriguing development, Toyota is reportedly considering the introduction of a ‘Mini’ Land Cruiser in India as a CKD (Completely Knocked Down) unit. This move could potentially position the new mid-size SUV in competition with the likes of the MG Hector and Mahindra XUV700.
Key Information at a Glance
- New SUV Codename: 340D
- Expected Launch: Early 2026
- Annual Production Target: 60,000 units
- Competitors: MG Hector, Mahindra XUV700
Frequently Asked Questions:
- When is Toyota’s new SUV expected to launch in India?
- The new SUV is expected to launch at the beginning of 2026.
- What is the production target for the new SUV?
- Toyota aims to produce 60,000 units of the new SUV annually.
- What are the competitors for the new Toyota SUV?
- The new mid-size SUV could compete with MG Hector and Mahindra XUV700.
Toyota’s upcoming venture reflects a significant stride in expanding its footprint in the Indian market, catering to the growing demand for mid-size SUVs while introducing budget-friendly options for consumers.
