Maruti Suzuki, Toyota To Set Up A Vehicle Scrapping Facility

Maruti Suzuki and Toyota Tsusho Group have announced a new joint venture called Maruti Suzuki Toyotsu India Private Limited (MSTI). The main aim of the new JV is to set up a unique vehicle dismantling and recycling facility in the country. A facility in Noida, Uttar Pradesh within 2020-21 is first on the agenda followed by similar facilities across India. Apart from this, Maruti Suzuki has also joined hands with Toyota for developing EVs, hybrids and other vehicles. The Toyota Glanza was the first product of this venture with a Toyota-badged version of the Vitara Brezza expected to break cover soon. A C-segment SUV rivalling the likes of Kia Seltos can also be expected from this partnership. 

Maruti Suzuki Toyotsu India Private Limited will be responsible for dismantling and recycling End-of-Life Vehicles (ELVs) in accordance with Indian laws and regulations. The facilities will take care of solid and liquid waste with respect to globally approved standards. 

Speaking on the occasion, Kenichi Ayukawa, Managing Director & CEO, Maruti Suzuki India Limited, said, “Maruti Suzuki strongly believes in responsible recycling of vehicles after end of its useful life. Through this Joint Venture, MSTI, we aim to promote recycling and support in resource optimization and conservation while using environment friendly systems and processes. Scrapping of older vehicles in a scientific and environment friendly manner will help to reduce pollution and also make the roads safer. A team of experts at MSTI will dismantle the vehicles using international technology and global standards.”

The upcoming facility in Noida will have an initial capacity to dismantle around 2,000 vehicles per month with approximately 50 employees in the beginning. MTSI will be sourcing the vehicles from dealers and customers. 

Here’s what the release says: 

New Delhi, 06 November 2019: Maruti Suzuki and Toyota Tsusho Group, today announced setting up one-of-its-kind vehicle dismantling and recycling joint venture, Maruti Suzuki Toyotsu India Private Limited (MSTI). The joint venture is between Maruti Suzuki India Limited (MSIL) and Toyota Tsusho Group (Toyota Tsusho Corporation (TTC) and Toyota Tsusho India Private Limited (TTIPL)) with each owning a 50% equity.  

Headquartered in New Delhi, Maruti Suzuki Toyotsu India Private Limited (MSTI) is established to set up its vehicle dismantling and recycling unit in Noida, Uttar Pradesh within 2020-21.  

MSTI will be responsible to procure and dismantle End-of-Life Vehicles (ELVs). The process will include complete solid and liquid waste management as per the Indian laws and globally approved quality and environment standards. 

The facility in Noida will be the first unit by MSTI and the JV will add more such units across India. The unit will have an initial capacity to dismantle around 2,000 vehicles per month. MSTI will source vehicles from dealers as well as directly from customers.  

Announcing the initiative Mr. Kenichi Ayukawa, Managing Director & CEO, Maruti Suzuki India Limited, said, “Maruti Suzuki strongly believes in responsible recycling of vehicles after end of its useful life. Through this Joint Venture, MSTI, we aim to promote recycling and support in resource optimization and conservation while using environment friendly systems and processes. Scrapping of older vehicles in a scientific and environment friendly manner will help to reduce pollution and also make the roads safer. A team of experts at MSTI will dismantle the vehicles using international technology and global standards.” 

At the occasion Mr. Naoji Saito, CEO (Metal Division), Toyota Tsusho Corporation said, “Toyota Tsusho has started ELV recycling since 1970`s in Japan. We believe that we will be able to contribute to Indian society through our knowledge and experience for ELV business. The first vehicle dismantling and recycling unit of MSTI is just the initial step and we are eager to expand to pan-India base with Maruti Suzuki.”