The Tata Nano exudes frugality, and when you're trying to build a capable vehicle for a paltry $2,500, that's not exactly unexpected. Unfortunately for the Indian automaker, the quickly rising cost of steel may thwart plans to hit the magic price-point. The price of steel has risen by 50 percent in less than a year, and even though the little Nano is only 1,300 lbs, when you're making an econobox on the mega-cheap, every penny counts. Like US automakers have done in the past, Tata is looking to
The Big Six U.S. automakers (General Motors, Ford Motor, Toyota Motor, DaimlerChrysler, Honda Motor and Nissan Motor) are calling for the U.S. International Trade Commission to put an end to heavy tariffs on imported steel. Current tariffs boost the price of high-grade steel from Australia, Canada, France, Germany, Japan and Korea by about 30 percent, at a time when automakers are struggling with steel prices that have skyrocketed 68 percent in the past two years.