Tata's Burning Inquiry

Indian automaker launches investigation after another Nano catches fire

Indian automaker Tata launched an investigation Monday after one of its Nano hatchbacks inexplicably caught fire.

"A Nano car caught fire on Sunday in New Delhi. We have rushed a team of engineers to investigate the accident. The probe is a time-consuming process," Tata Motors spokesman Debasis Ray told AFP.

The two brothers that were in the car were able to escape unharmed, the Times of India reported. Ray said that Tata would be in contact with the owner of the car.

This is not the first issue Tata has had with its Nano hatchback catching fire. Last year, the automaker had to provide owners with safety upgrades after several of the vehicles caught fire in various circumstances.

The Nano hatchback is probably the world's cheapest car (starting at just $2,500) and while it was hailed as the car that would transform transportation in India, it has struggled to sell due to consumer safety concerns, production issues and an overall slowing of the Indian economy.

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