Filed under: Car Buying, Plants/Manufacturing
Dirt cheap Tatas! Indian automaker to market $2,000 car
Tata Motors Ltd. of India has announced plans to build a five-seat car that it will bring to market for less than 100,000 rupees (around $2,200).
The company is set to build a $220 million dollar factory the communist state of West Bengal to build the discount offering, with hopes of having it on the market in two years. The new vehicle could result in up to 10,000 new jobs at the plant and the company's suppliers.
Tata did not disclose more specifics about the vehicle's construction, or its name. Officials were similarly mum on production projections, as well export possibilities.
(A Tata Indigo Marina is pictured)
[Source: The Associated Press via Detroit News; Tata Motors]
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Reader Comments (Page 1 of 3)
Matt Keegan 8:21AM (5/19/2006)
The Indian car industry is burgeoning and will someday become a factor on the world scene. This price will not be sustainable on the world stage, but a quality Tata car will help drive price pressures downward. I give it 10 years before it happens.
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Source1 8:50AM (5/19/2006)
One Tata for $2,000? That's cheap! Most implants cost $2500 each.
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Glenn A. 8:50AM (5/19/2006)
My brother-in-law in the UK has a Tata 4 door pickup truck with a diesel. Fuel costs are awful there - so one vehicle has to double as family car and work truck (he does artexing - artistic plastering of ceilings).
The truck kind of looked boxy and square, clattered something awful and stank - nothing out of the ordinary considering it was diesel - but seemed okay as a utility vehicle/family vehicle.
He said the price was about 1/2 of the equivalent Mitsubishi or other competition.
The he proceeded to ask me why on earth I bought a Prius since "it must look like every other car on the road in Michigan". I had to inform him that fully 60% of the vehicles on the road in Michigan more resembled enlarged versions of his boxy Tata than my futuristic Prius (which is much more closely related in styling to certain Euro cars including some Citroens).
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Howard Kerr 9:07AM (5/19/2006)
I don't have the latest issue of CAR, but here's what they said about the Tata Safari (a sort of mini-SUV).
"Tata makes an excellent hammer"
For: it's robust
Against: a crack habit would be money better spent
Tata also sold a small hatchback, the U.K.'s lowest priced car, but it wasn't really popular next to better alternatives...a used anything.
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Howard Kerr 9:12AM (5/19/2006)
For anyone who's REALLY interested:
www:tata.com/tata(undescore)engg
I substituted the word underscore for a small line as it looks like my post deletes it (_).
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Michael Karesh 9:35AM (5/19/2006)
Can anyone say vaporware? Since the factory alone is costing $220 million, the numbers aren't adding up unless they're going to virtually take over the Indian market--last time I checked Tata wasn't in the top three. But even if it ends up costing $4,000, still very cheap.
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cougar 9:49AM (5/19/2006)
Michael Karesh:
There is a car available for $4000. (well 4500)...and it has been the
best selling car for the last 20 years (till 2004)...gives around 17Km per litre in city conditions and goes
above 20Kmpl on highways...http://www.maruti800.com/
But now losing its sheen against competition because of lack of space... (other cars like suzuki Alto and Tata Indica Xeta are popular
and these cost around $5500)
Tatas are already in talks to buy Smart (DC)...so they are really serious about it.
They proved that they could compete with suzukis and hyundais in small cars... So it would be interesting to see how this project unfolds.
There are even rumours that there are working prototypes!!!!
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patrick 10:02AM (5/19/2006)
anyone else amused at the fact that they're "offshoring" production to the Communist country of West Bengal, presumably because Indian labor costs are too high for a $2k car?
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Southsong 10:07AM (5/19/2006)
#8 West Bengal is one of the states in India where communism rules. It is not seperated from India, it is part of it.
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Jonathan 10:12AM (5/19/2006)
Except that West Bengal is part of India...
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Matt Keegan 10:15AM (5/19/2006)
Cheaply priced cars will be springing up all over the place. China, India, Mexico, and Malaysia are just a few of the markets making them:
http://thearticlewriter.com/autowriter/ultra-low-priced-cars-will-you-buy-one/
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CANADIAN MADE 10:24AM (5/19/2006)
GEE, for that kind of money one could afford a Bodacious set of TATA's
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bernie 11:01AM (5/19/2006)
I hear they're going to enter thew luxury limo market too, They're caling them "Bodacious Tatas." LOL
We'll be here all week!
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Jimmy from South Park 11:09AM (5/19/2006)
" I hear they're going to enter thew luxury limo market too, They're caling them "Bodacious Tatas."
Thank you, what a great audience.
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Michael Karesh 11:53AM (5/19/2006)
Does anyone crash test these cars?
Does this price include any safety features or emissions equipment? Traffic deaths in the developing world are about to skyrocket...
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Leo 12:05PM (5/19/2006)
"Does anyone crash test these cars? Does this price include any safety features or emissions equipment? Traffic deaths in the developing world are about to skyrocket..."
Michael, this level of concern would be a first in a nation where 10,000 die a week from cholera and 25,000 die from a routine flash flood event. As much a Prez Bush wants to turn the rest of the world into America, the fact is these folks would much rather have cheap, durable transportation. Safety and the environment quickly get lost in the old "Maslow's heirarchy of needs" conversation.
Once India gets up and running they will soon be running into the cows and beggars that wander their roads & there won't be nearly enough highway to carry the masses. It's part of their growing pains, but it's something they have to find out on their own. If we try to legislate the hell out of them they'll never get off the ground floor. Maybe that's what some Americans want.
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Tom Design 9:39PM (5/19/2006)
What?!? That's really amazing. My custom rims cost more. Awesome, India...you go! Styling wise, it could be a Mazda, Honda, Mitusbishi, Hyundai, Ford or GM van, no big difference in proportional look. The Japanese/Chinese Asians make their cheap vans & cars with such odd, bulgy poor proportions. The Indians have a real sense of traditional, conservative design. Pretty nice, actually, and FOR THE MONEY? Wow!
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Tom Design 9:41PM (5/19/2006)
And on second thought...the name Tatas just might not sell to American women as in "I got my Tatas washed and buffed yesterday." or, "Had an accident yesterday, got creamed in my Tatas."
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Ajay 5:08AM (5/23/2006)
I am really surprised at the level of ignorance of some of the writers above. Its not that fault. But then thats the reason why the world hates Americans. Guys please get some more info about any topic before criticising it.
The Tata family is worshipped in India. They were the ones to introduce a lot of changes in India. They were the first in the world to make an 8 hour working day. The contribution to charity that the Tata group makes is awesome.
Tata Motors was the only company in the world to make a commercial Euro 3 compliant 2 cylinder engine!
Tata Motors does a crash test for its vehicles. Infact it is the other biggies mentioned in other responses above that do not do crash test in India.
Someone else quoted above that Maruti 800 by Suzuki gives 17kmpl. But it is a 4 seater petrol vehicle wheras Tata Indica is a 5 seater Diesel vehicle. The technologies in petrol and diesel are different.
There are a lot of other points that I can mention if you send me a personal email.
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FRED FRESNO 8:24PM (5/23/2006)
DO THESE NEW CARS COME WITH A RAG TOP?
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