Thursday, March 26, 2009

Nano Gears Up For Global Ride Launch in Europe by 2011, US Next in Line

The Telegraph
After the big-bang commercial launch of the Nano in Mumbai, Tata Motors is drawing up ambitious plans for an international rollout of the low-cost small car.


The Nano is expected to hit Europe followed by the United States in the next few years.

Tata group chairman Ratan Tata said, Tata Motors will be able to cater to the European market by 2011 and it will take three years for us to come up with the options that the US market would like. This version will meet all the requirements needed by the US market.


The emission and safety features will be compliant with the standards in Europe. The Nano in Europe will have a more powerful engine, airbags and other safety features. Tata said the global slowdown had improved the prospects for the low-cost cars. However, the Tata group chairman clarified that the Tata Nano Europa will not be a Rs 1-lakh or a $2,500 car.



Earlier this year, the Tata Nano Europa, a version created for select international markets, was displayed at the 79th Geneva Motor Show. Tata Motors also showcased the Tata Prima, a concept luxury sedan, and the Tata Indica Vista EV, an electric vehicle based on the award-winning new generation Tata Indica Vista.



Tata clarified that Tata Motors was not planning to launch the low-cost car in big markets like China. Tata Motors, however, is interested in other international markets like Africa where it already has a presence in some parts of the continent.



Tata said the company was expecting its rivals to respond to the threat from the Nano in different ways. Two-wheeler makers would probably come up with incentives. Other car makers would also drive down their prices, he said.



But the biggest threat could come from car makers like Renault which have announced plans to develop a low-cost car along with the Bajaj group.



Share surge

Shares of Tata Motors, which surged over 8 per cent in morning trade, shed gains to settle up 3 per cent on the BSE. The scrip closed at Rs 166.05 on the BSE, after touching a high of Rs 173.85.

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