Toyota to launch a new small car with diesel engine in India

Toyota, Japan based world's largest car maker is planning to launch a new small car in India with a diesel engine by year 2011. Company is keenly studying the diesel option for the small car to be launched by 2011, said Sandeep Singh, Toyota Kirloskar Motor (TKM) deputy managing director (marketing). Mr singh further added that the launch of a new small car with diesel engine will depend on the government's regulations regarding diesel engines and the position of the market at that time.

Besides this, the company is planning to launch a diesel version of its sedan Toyota Corolla Altis in India and it is in the final stage of launch of its premium hatchback Toyota Etios. It is expected that the Etios will be launched in India by the end of 2010. The Etios will be competing with popular cars in India in this segment including Maruti Swift, Hyundai i20, Ford Figo, Volkswagen Polo and Chevrolet Beat. Toyota has also started delivery of its most popular hybrid car Toyota Prius in India, which was launched in Delhi Auto Expo in January.

however, company hasn't provided any time-frame about the launch of diesel version of the 'strategic' small car in the country. Toyota Kirloskar Motor which is a Indian joint venture of the Japanese car-maker with the Kirloskar Group, is investing heavily (Rs 3,200 crore) in setting up a second plant in Bangalore to roll out the small car in the country.