Tata set to launch US$2,500 car in mid-2008

Tata LogoLATEST DELHI 2008 UPDATE: Tata has unveiled the Tata 1-Lakh Car and has named it the Tata Nano. Click here for the latest details on the new Tata Nano.

While countries around the world are competing to see who will play host to the tallest building in the world, something similiar is happening in the automotive industry: with every new small economical car announcement the target price level is being set lower and lower, with the latest being Tata Motors Ltd’s planned US$2,500 (RM8,600) car.

Tata’s head of sourcing for this project E. Balasubramoniam says the new project will redefine the concept of an entry-level car and targets a million of these US$2,500 cars sold annually. Tata is still working on the car and a target launch date is July net year. Bala says the final price must be kept at the US$2,500 level or the business case for the car will collapse.

Previously, sketches have been shown to the media that seemed to resemble a small egg-shaped car with a high roof. These ultra-entry level cars are intended for developing countries and might even find a place in countries like ours – where the cheapest brand new car currently still costs more than RM20,000.

Source

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Paul Tan

After dabbling for years in the IT industry, Paul Tan initially began this site as a general blog covering various topics of personal interest. With an increasing number of readers paying rapt attention to the motoring stories, one thing led to another and the rest, as they say, is history.

 

Comments

  • blunt (Member) on Sep 27, 2007 at 3:25 pm

    wooo..
    i used to drive TATA Indica while in Mumbai …to be honest, it really suck..
    Thats Indica…consider averagely price in India..
    if entry level car….???

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  • LittleFire85 (Member) on Sep 27, 2007 at 3:31 pm

    Huhu… i think is something like the tut-tut car in Thailand izzit? Using motorcycle engine 125cc? Well maybe that way can be cheap.

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  • mitlanevo (Member) on Sep 27, 2007 at 3:51 pm

    i dont know much about this USD 2500 vehicle, but the Tata Telcoline is terrible and awful…… handling sucks, design even worse….

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  • jepakazoid (Member) on Sep 27, 2007 at 3:57 pm

    I bet its like RM 15 000 here in Malaysia

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  • proton.GL.. (Member) on Sep 27, 2007 at 4:08 pm

    egg shaped, high roof,

    drive from JB to Perlis, (its actually not a car)

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  • nobodyatuk (Member) on Sep 27, 2007 at 4:18 pm

    Not Malaysian for sure, they rather go for the evergreen Iswara or Kancil. For most, car is a simbol of pride (right?) Besides, nothing is known on the detail specs of the car so if there is someone out there who is thinking of bringing them in, better think twice.

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  • izaman (Member) on Sep 27, 2007 at 4:36 pm

    seems to be worse than proton….but where are those car bashers. :P

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  • maibatsu_thunder (Member) on Sep 27, 2007 at 5:06 pm

    Paul … I wonder how this will compare to Gordon Murray’s small car?

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  • jepakazoid (Member) on Sep 27, 2007 at 5:16 pm

    I think most probably it will be more than RM 15 000 if sold here in Malaysia, truly Asia.

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  • mofo (Member) on Sep 27, 2007 at 8:37 pm

    Basher reporting to work.

    But at that price, no one will judge the quality over the exp. plus low quality junk. If P1 sell it at Rm 8.6k for BLM/entry level. Trust me, i’ll salute them. As i know, they wont coz how exp. the price tag they still the cheapest in the market.

    India maybe its poor country, but at least TATA build it cheap for them. USD 2.5k to have a car. Not a bad deal compare with bike.

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  • nmh (Member) on Sep 27, 2007 at 8:49 pm

    maybe albit crazy in malaysia …50k everyone?

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  • ezralimm (Member) on Sep 27, 2007 at 11:26 pm

    India is not a poor country. Sure, it has lots of poor people (gosh this is soooo not politically correct to say) but they also have a growing middle class. Something like 300,000,000 strong… that is. (if i remember what i read in the economist correctly)

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  • Javanese (Member) on Sep 28, 2007 at 12:37 am

    Defenitely a serious contender for the worst car in the world award… What, TATA think this cheap car is going to be a hit and achieve a legendary status like the beetle and mini??? What on earth have they been smoking?

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  • mystvearn (Member) on Sep 28, 2007 at 3:23 am

    Sure malaysians will kutuk-kutuk this car when it comes out. Comparing it with myvi/kelissa like no where near it. Malaysians kutuk geely before, so not suprised it happen to this one

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  • transformer (Member) on Sep 28, 2007 at 8:52 am

    at least Tata have the heart to cars more affordable for everyone… Its time to be Revolutionised!

    much better than those blood sucking draculas!

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  • szw (Member) on Sep 28, 2007 at 1:31 pm

    so cheap

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  • altimate (Member) on Sep 29, 2007 at 4:32 pm

    The car is not out yet and we dont even how it will look like and we are already starting to bash.. And India is not a poor country my friends…

    TATA’s strategy is interesting.. but i however doubt the idea will sell..

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  • angelo2689 (Member) on Sep 30, 2007 at 12:13 am

    TATA means goodbye?

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  • topgunthang (Member) on Sep 30, 2007 at 11:32 pm

    yea this idea is unsustainable. they must have been smoking the same pot as malaysia’s own hydroxene dream team duo.

    india is second behind china to become an economic power. its no wonder they can dream as hard as they seem to be.

    this is problably gonna end up like those $99 dollar laptops. wait 10 years until the technology is outdated then maybe u can arrive at that price. in relation to cars, to achieve that price point would be forgoing lots of safety measures and quality issues.

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  • mie (Member) on Oct 02, 2007 at 4:16 pm

    I see this as a healthy competition between automotive company. The design, performance and reliability of the car is not important on this matter but what is important here is all the people have their own car….hope they can work together with Proton and china automotive company to challenge famous automotive company to reduce the car price as cheaper as can with a good quality.

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  • bluefire on Jan 17, 2010 at 10:38 am

    this is pure sincier project by indian to help indian too and should be follow by our goverment if they realy care about what they call 1malaysia..why not we maintain our kancil 660 model and make the price below rm10K for a new one?????

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