A little pause on the Bajaj’s low cost car project

The two wheeler and three wheeler manufacturer, Bajaj said that they are all geared up to launch a commercial vehicle around mid 2012 from ULC (Ultra Low Cost) platform. This four wheeler was actually planned to be manufactured in alliance with Nissan-Renault. As stated by Rahul Bajaj, the chairman of Bajaj Auto, this car will surely be launched around the mid of 2012 and would be a goods transporter.

Renault and Bajaj came into collaboration in the year of 2008 to create a squat car that would cost around $2,500 only. Earlier the ultra low cost car was to be released in the year of 2011 but now there has been a little delay because of some disparities between the firms on the design and price. Bajaj was stressing on a much lower cost than $2500. These issues made a little holdup in the launch of this car. 

The Bajaj ULC will surely have to face a tough competition from Mahindra & Mahindra and Tata Motors as they are quite established in the Indian Auto market. But with little help from Nissan and Renault, it could definitely strike back.  According to the Bajaj officials, the foreign associates will promote it as just a car not a low cost car. The actual price of this four wheeler goods carrier is yet to be decided. However, Bajaj didn’t give any clarifications on whether it will release one or 2 vehicles.

Another thing mentioned by Renault was that it has not yet seen the finishing creation and it will surely not snuggle down with anything, which has some deficiencies. Renault will only accept a product, which has all the qualities of a car. According to the officials of Renault, Renault will only take the final decision when it sees the finished product done by Bajaj.