Hailed by many as the Model T of India, the ultra-cheap Tata Nano has generally been successful in putting would-be motorists on wheels in India. Now, the company’s suppliers say that Tata is aiming to export the car to Thailand, Sri Lanka and Africa by the end of this year.
“Tata Motors may begin exports of the Nano as early as December and will likely export 1,000 units initially,” an executive at one of the automaker’s suppliers told The Wall Street Journal. “These markets are quite similar to India and have similar requirements as in India, and Tata Motors wouldn’t need to make major changes to the existing Nano.”
Selling at around $3,000, the Nano is the least expensive new car in the world – something that emerging markets would undoubtedly want to get their hands on. Initially, Tata expressed interest in selling the Nano in Europe, going as far as displaying the car at various European motor shows, but the company has made no further public moves to expand out of India.
Officially, Tata has not made any announcement about additional markets.
“Tata Motors has all along been conscious that the Tata Nano, as launched in India, too will be appropriate for other countries as well,” Tata spokseman Debasis Ray said.
Unlike Europe, many Southeast Asian and African markets don’t have stringent emissions, fuel consumption and safety standards, meaning the Nano would be easy to homologate for other regions. Tata’s largest challenge would be to set up a distribution network in a foreign country. Given that the greater Tata Group exports trucks and buses to other markets, the company could use its existing network.
In addition, Tata might look to export the car in order to keep production high in India. Nano sales slowed down significantly in India after news reports indicated that the cars could catch fire. Sales dropped from 9,000 units during one month last summer to just over 500 in November. Tata countered with an upgraded model with more safety features and an increased warranty and sales rebounded to 8,262 units last month in India.
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1.’Tata may export…’ view
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