Tata Nano to get 800cc engine,launch expected by 2013 Q1

Ratan Tata, the Chairman of Tata Motors stated earlier this year that the company is eyeing to renew the image of its petite car ‘Nano’. Tata Nano which came across as a poor man’s car since it was launched is no longer going to be in the ultra low cost bracket. Tata group has set the stage for its entry in the entry-level segment (currently dominated by Hyundai Eon and Maruti Alto) and is now going to equip Nano with a more powerful 800cc engine.

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This new sportier version of Tata Nano is expected to be launched early next year. Tata group will however maintain the 624cc engine for the use of Nano in semi-urban and rural markets. Currently Tata Nano prices start from Rs 1.4 lakh and end just under Rs 2 lakh, but this upgraded version of Tata Nano is under progression and will take another 10-12 months for complete development.

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The new Tata Nano’s target customers are more opulent ones who have been cascading towards cars in the Rs 2.4 lakh and above price point (ex-showroom Delhi). The new version of Tata Nano is expected to help drive volumes; currently the company is selling around 7, 500 units of Nano in a month.

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Auto aficionados believe that Tata Nano’s appeal would increase with 800cc engine and is likely to lure new buyers. However Tata Motors spokesperson denied the inclusion of 800cc engine in Tata Nano in 2012.

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And as they say, the company will continue with the current Nano.  The ‘People’s Car’, Tata Nano has witnessed some significant bumps since its puffed-up launch in March 2009.

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Its ‘down-market’ image coupled with poor distribution and financing options has been the significant factor that made Tata Nano to lose its face and charm among the jazzier and better publicized cars in the entry level segment.

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