New delhi, May 12 -- World's largest automobile maker Toyota Motor Corporation is doubling down on India with plans to set up a third plant that will add 100,000 units of annual capacity by 2029, taking its total capacity in the country to nearly 450,000 vehicles a year. The Japanese carmaker on Monday announced that it will build the plant at Bidkin Industrial Area in Maharashtra. The facility is expected to manufacture a new sports utility vehicle (SUV) for the Indian market. The expansion comes as carmakers remain bullish on India's growth prospects, driven by rising demand for SUVs, which now account for more than half of the country's passenger vehicle market. Toyota joins global manufacturers such as Suzuki Motor Corporation, Hyundai Motor Corporation, Volkswagen Group and Renault Group in identifying India as a key growth driver. The move also adds to a broader wave of Japanese investments. Suzuki plans to expand its capacity in India by more than one million units by 2030, while Honda is investing Rs.1,200 crore in Rajasthan to roll out its debut electric vehicle for the Indian market. "With deep appreciation, Toyota will continue strengthening its production structure to enable flexible response to future demand growth and market changes in India and surrounding regions, and to deliver products in a timely manner that customers choose," Toyota Kirloskar Motor, the India unit, said in a statement on Monday. "Through the new plant, and with the continued support of many stakeholders and local communities, Toyota will continue to contribute to the development of India's automotive industry and society," the statement added. The capacity addition comes at a time when India's top carmakers are already on an expansion spree. Maruti Suzuki India Ltd, Hyundai Motor India Ltd, Mahindra and Mahindra Ltd, and Tata Motors PV Ltd-together with installed capacity of 5.4 million units-are planning to raise output by as much as 39% to 7.5 million units by 2030, Mint reported on 14 January. According to the Society of Indian Automobile Manufacturers (SIAM), Toyota's sales in India rose 19% to 366,896 units in FY26. Overall passenger vehicle sales in India grew 8% to 4.6 million units during the year....