MSTI will be the first-of-its-kind vehicle dismantling and recycling facility, with a capacity to dismantle about 2,000 vehicles per month
Maruti Suzuki India Ltd (MSIL) today announced that it has setup an agreement with Toyota Tsusho Group, for the establishment of a one-of-its-kind vehicle dismantling and recycling joint venture (JV). This JV will be called Maruti Suzuki Toyotsu India Pvt Ltd (MSTI), with each company owning equal 50 % equity. MSTI will be headquartered in New Delhi, and will 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, MSIL noted. It said 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 about 2,000 vehicles per month, with vehicles being sourced from dealers, as well as directly from customers.
Kenichi Ayukawa, Managing Director and CEO, MSIL, said the company strongly believes in responsible recycling of vehicles after end of its useful life. Through this JV, Maruti Suzuki aims to promote recycling, and support in resource optimisation and conservation, while using environment-friendly systems and processes, he added. Ayukawa noted that 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,” he further added.
The company has been carrying out ELV recycling since the 1970s in Japan, noted Naoji Saito, CEO (Metal Division), Toyota Tsusho Corporation. He said Toyota Tsusho believes that it will be able to contribute to Indian society through its knowledge and experience for ELV business. The first vehicle dismantling and recycling unit of MSTI is just the initial step, and the company is eager to expand to a pan-India base with MSIL, Saito added.