Tata Motors is well-known for its ability to make some cheap low-priced vehicles. From the Nano – starting at the ridiculously low price of around $2,500 – to the Indigo at just $8,900, Tata knows where to cut corners to get to a price point that's attractive to customers. Low prices are certainly appealing, but Tata hopes to draw in a wider swath of customers with the unveiling of the Indigo e-CS, India's most fuel-efficient sedan that has a claimed rating of 54 miles per gallon.

The Indigo e-CS is powered by an all-new 1.4-liter CR4 common-rail diesel engine. The e-CS is built on the Indigo platform that also underpins the Indigo CS, one of India's top-selling vehicles since its 2008 debut. The diesel powerplant and its added efficiency commands a steep premium; it has a starting price of $11,100, compared to $8,900 for the gasoline version. In the Indian market, $11,100 is extremely expensive when other models are readily available for a third of that price. Of course, many of those bargain offerings are more like souped-up golf carts than actual cars. It remains to be seen if Tata has the reputation needed to sell a premium vehicle or if the price of the e-CS will simply drive buyers to look elsewhere.

[Source: Green Car Advisor]

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