Indian automakerTata to launch $2,000 car

The giant “Tata Group”: is “launching a 100.000 rupee car in 2008”:,00020010.htm:

bq.. Tata Group Chief Ratan Tata told shareholders that the launch of the car would create a new paradigm in low-cost personal transport, carve out a new market segment and reach a broader base of the pyramid.

“The styling and designing of the car have been completed and prototypes are being tested in the plant. It will be a rear engine, 4-5 seat, four-door car with about a 30 horsepower engine,” Tata said in the company’s annual report for 2005-06.

The car will be launched in early 2008 and we believe it will be extremely attractive to the Indian consumer, particularly younger families, at a price level of about Rs one lakh, Tata said.

p. If lauched at that price, for even a few hundred dollars more, this will change the entire country.

All is not roses and sunshine. Lee Schipper, Director of Research for WRI’s Center for Sustainable Transport, “commented”: on the implications of a low-cost car for India at “”:

bq.. While individual mobility is something to be cherished, providing an inexpensive four wheeled vehicle in a country that has not even managed to provide infrastructure for the tens of millions of polluting two-wheelers seems a bit odd. Worse, most Indian cities do not even have proper sidewalks, cycle paths, or even clean and well lit bus stops, which gives the majority of Indians better transport.

No one should mistake this as a move in the direction of sustainable transport. To be sure, it would be better if these inexpensive vehicles were low-energy using, slow, and clean city cars. But the manufacturer also should support public policies and regulations in cities to ensure that their products don’t overwhelm or worsen the quality of life for city dwellers as a whole.

p. In the third world, urban centers are already overwhelmed, and many, like Karachi and Mumbai are already choking on their filth.

Forwared looking cities, like London, Seattle and many others are trying to “lower the number of cars”:, while others like Karachi are blindly embraching the cult of the car on their way to becoming a shining jewel in a “planet of slums”: Portland for example:

bq. The city’s Office of Transportation, Metro, and the Tri-Met transit agency have led the nation in linking transportation to land use and livability. Light rail transit, new trolley car lines downtown, a model transit mall, downtown free-ride zones, bicycle and pedestrian ways, 100 percent bike-accessible buses and rail, dedicated bus-ways, transit shelters with video monitors and next-bus information, and transit oriented development incentives have contributed to the national recognition of Portland as a leader in *getting people out of cars.*

The car is Indian, so the knee jerk Pakistan reactioni will be to ban it. Which is both good and bad. If Tata manages to bring out this car, the Chinese won’t be far behind.

h4. links

* “WorldChanging: Urban Transport”:

7 thoughts on “Indian automakerTata to launch $2,000 car”

  1. I think the car will be good in the rural areas of India. If it can carry 4-5 people it can take the load off the inefficient and outdated vehicles that are used now. I don’t think you will a lot of cars in the urban centres, they will target the rural market.

    Pakistan ban? I don’t think Tata is looking at the Pakistan market. Their existing range, the Indica and Safari is sold in over 80 countries – including China.

  2. The last thing India or Pakistan needs is more cars. The havoc currently created by overpopulation and lack of construction on the unpaved streets is an uncontrollable nightmare (from an American’s perspective) and will only get worse. These countries can’t even maintain the roads that they have now let alone build new ones to accomodate an influx of new cars. And then there’s the environmental impacts. You have to balk at the audacity to create a car that will be completely disposable. Where do you dump all of these $2000 cars after they crap out in a few years?

  3. As someone rightly pointed out, cars are good for rural India, not for urban. In any case, the manufacturer is doing the customer a favor. It is not the manufacturer’s onus to ensure clog free roads, the City planning body needs to address the issue. Uncontrolled, unplanned growth of cities is a failure on the govt. , not car manufacturers! And banning a car for it being Indian is outright stupid for Pakistan! That ways, Pak govt. should ban trade in agricultural products, the largest supplier bein India. They might as well pay more for their daily bread and buy from other countries I guess!! Outright Hypocrisy!

  4. TATA’s one lakh car will really creat a new segment, as in present scenrio the TATA mini truck has created a new segment and TATA is going to another plant for its small truck due to its huge demand, so TATA is creating new market.

  5. wow!

    extremely amazing car, dudes you have made this wonderfull car for better ment of People. It really works, i am just like a fan of this car, its damn cool and much donfortable than other cars in Asia. I am not paid much to buy this car, Because i belongs to apoor family, but really i simply love this car.

    I salute to the person, who have given you the idea and also Thanks to to maker of this car.

    Thanks i am feeling owner to give my awesome view about the new car by India!

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