The Tata Nano hasn’t managed to sell as much as it was expected, actually not even close to what was expected. Now it’s time for a correction which the company is taking very swiftly, although a bit late. The Tata Nano will no longer be positioned as the world’s cheapest car with the starting price soon to cross Rs. 2 lakhs as the automaker goes about adding features to the vehicle. The price increase is set to happen as a power steering will become standard fitment on all Nanos in the near future with the non-power steering models finding no place in the company’s showrooms.
Tata Motors wants to position the Nano as the best car for the first time car buyer and thus ease of driving is of paramount importance. This is the reason why the Nano Twist has high hopes riding on it. The company is also working on bringing out an automatic transmission in the Nano which will make it a breeze to drive in the city. Tata Motors is working with an Italian component maker for a semi-automatic version of the Nano. A semi-automatic is a clutch-less car using automated manual transmission (AMT), similar to what will debut on the upcoming Maruti Celerio.
AMT is much cheaper than a conventional automatic transmission and thus the Tata Nano Automatic will be the world’s most affordable automatic car. The AMT unit might also find its way into the Vista. The company is also looking at export markets actively as it feels the Nano has huge potential in other emerging markets. The automaker is planning to set up assembly units in Indonesia and South America. Currently Tata Motors uses the CBU route to send vehicle to Indonesia. It is also eying entry into the South American market.