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Japanese auto manufacturer Toyota is planning to continue selling their diesel models even after the deadline for new BS-VI emission norms next year. The company does not foresee a decline in demand for their diesel models in the country.
(TKM) Toyota Kirloskar Motors' Vice-Chairman, Shekar Viswanathan, said, "We still see demand for diesel variants, and will continue to manufacture them till we have the future technology setting in."
TKM has invested in a facility to manufacture BS-VI compliant diesel engines in India. This was done to promote the "Make In India" initiative, and to reduce costs of production with local manufacturing units.
The top selling models from the company's line-up are the Innova Crysta and the Fortuner. Based on the total vehicle sales between January and July 2019, the current ratio for diesel to petrol models sold is 82:18. Considering passenger cars, the diesel to petrol models are sold in ratio closer to 50:50.
When asked about the company's plans about introducing electric vehicles in India, the company said that they already have various types of electric vehicles that can be introduced depending on the market demand.
Toyota has core technologies needed for development of vehicles such as hybrid electric vehicles, plug-in hybrid electric vehicles, battery electric vehicles, and fuel cell electric vehicles.
"However, the speed of market launch differs greatly depending on the country, region, road environment, energy situation and other factors," Viswanathan added.
He also said that the company was closely monitoring customers' needs and trends. They are also investing time and effort constantly towards the development of key technologies such as batteries that power hydrogen fuel cell electric vehicles, and electrified vehicles. However, no information was revealed about a specific model getting introduced in the country.
Viswanathan said that the company will keep rooting for hybrid vehicles despite the government favouring only EVs in the country. "If the government encourages hybrids or self-charging EVs, it would augur well for the pure EV sector given the commonality of parts," he added.
The new BS-VI emission norms will come into effect In India on 1 April 2020. Prices for diesel models will go up after engines are made BS-VI compliant. Maruti Suzuki and Tata have confirmed that they will stop manufacturing smaller displacement diesel engines once the new emission laws come into effect.
Thoughts About The Toyota Diesel Models
To make diesel engine cars BS-VI compliant, manufacturers have to fit their vehicles with Selective Catalytic Reduction (SCR), Diesel Particulate Filter (DPF) and other components to control the emissions. As a result, there will be an increase in the price of diesel cars after the BS-VI emission norms. In conclusion, the Innova Crysta and the Fortuner will become pricier to become BS-VI compliant.