The Tata Rs 1-lakh car is here! And it's called the Nano!

Tata Group chairman Ratan Tata on Thursday unveiled the Tata Nano at the 9th Auto Expo in New Delhi.

Details of the People's Car:

Ratan Tata, while unveiling the nano, said: "The car will meet all current safety norms and all emission criteria. The pollution it will cause will be lower than 2-wheelers."

The car, Tata said, is smaller than a Maruti [Get Quote], but has 21 per cent more volume or space inside than the 800. He said that the dealer price of the car will be Rs 1 lakh, plus value-added tax (VAT) plus transport charges.

The car will have a 624-cc petrol engine generating 33 bhp of power. It will sport a 30-litre fuel tank and 4-speed manual gearshift. The car will come with air conditioning, but will have no power steering. It will have front disk and rear drum brakes. The company claims mileage of 23 km per litre.
The car's dashboard features just a speedometer, fuel gauge, and oil light. The car does not have reclining seats or radio. The shock absorbers are basic.

Tata Nano. Photograph: Rajesh KarkeraNano, the world's cheapest car, costs almost half of the cheapest car currently available anywhere in the world.

''Since, a promise is a promise the standard dealer version will cost Rs 1 lakh,'' said Tata Sons chairman Ratan Tata.

He informed that the car is 8 per cent smaller bumper to bumper, than the Maruti800 but at the same time 21 per cent larger in its interiors and can sit up to four people.

Dispelling myths that the car was not safe enough Tata said, 'The car has passed the full-frontal crash and the side impact crash''. He also side stepped emission concerns and said the car will meet Euro IV norms.
The Nano will come in three variants -- standard and two deluxe models with AC. The standard car would be available for Rs 1 lakh (ex-showroom), while VAT and transportation costs are extra.

The Nano is expected to be commerically launched in the second half of 2008. News reports say that Tata Motors [Get Quote] hopes to sell 500,000 units of the car, almost four times the number of Indicas it sells. Tata plans to focus on a market segment hitherto untapped.

Not since the launch of the Maruti 800 in 1983 has any car gripped the imagination of a nation and indeed car manufacturers the world over so intensely. If commercially successful, the Tata Nano can alter the passenger car market in India, and perhaps the world, beyond description.