Latest Automotive News

Subscribe in a reader





Tata Motors to produce US$2,000 car

Email   small font medium font large font

Google
 
Web AutoNews24h.com

NEW DELHI (AP) _ India's largest automaker, Tata Motors Ltd., said Thursday it plans set up a plant in communist-ruled West Bengal state to manufacture a family car that will cost little more than $2,000 US.

The plant will be set up with an investment of 10 billion rupees ($220 million), and is expected to start production in two years, said Ratan Tata, the company's chairman.

A prototype of the five-seater model to be made at the West Bengal plant is undergoing tests at a Tata facility in the western Indian city of Pune, Tata said, adding that the company aims to keep the car's price below 100,000 rupees ($2,200).

The project will create about new 10,000 jobs at the plant and vendor chains, he said.

Tata's investment is significant for West Bengal, which the private sector has largely avoided since the communists came to power in the late 1970s.

While the Left Front _ a coalition of parties led by the Communist Party of India (Marxist) _ has been successful in its efforts to reduce rural poverty in West Bengal, urban unemployment has increased. Many businesses won't invest in the state, fearing labour unrest and problems in dealing with the communist administration.

But Tata, one of India's most respected businessmen, expressed confidence that the state was the right place to establish a new plant.

``We have come to believe that West Bengal is one of the most investor-friendly states,'' he said. ``I think someone has to turn this belief into a reality.''

Receive the latest automotive news by email!

Enter your email address:


Related news
The chief of India's Tata Group said Wednesday his company has no intention of scaling back its plans for a new car factory in eastern India, despite widespread local opposition ...
India's Tata Motors plans to unveil its ultracheap $2,500 car at an auto show here next month, the company said Wednesday. Analysts believe the car may force other manufacturers to lower their own pricing. While ...
NEW DELHI (AP) _ Tata Motors Ltd., India's largest automobile manufacturer, said Friday its profit in the most recent quarter rose 26 per cent from a year ago, driven by strong sales ...
India's largest automobile manufacturer, Tata Motors Ltd., said Tuesday its net profit rose 12 per cent in the last quarter on strong local sales of trucks and buses in the ...
Tata Motors Ltd., India's largest automobile maker, said lower tax payments and improved margins helped its profit grow 19 per cent in the latest quarter despite a drop in the number of vehicles ...
Tata Motors reported a total sale of 45,056 vehicles (including exports) for the month of July 2006, a growth of 44.5% over 31,173 vehicles sold in July last year. Cumulative ...
Tata Motors today announced the launch of Grande MK II, an upgraded version of its premium Sumo offering in the domestic market. The Grande MK II seeks to deliver added value to ...
Domestic sales of Commercial Vehicles (313,371), Passenger Vehicles (214,758) Tata Motors reported a record sale of 582,401 vehicles (including exports) for the fiscal year 2007-08, its highest ever and a growth ...
MUMBAI (AP) _ India's largest automobile manufacturer, Tata Motors Ltd., said Thursday its net profit in the October-December quarter climbed 45.6 per cent, helped largely by income from the sale of equity in ...
Tata Motors announced the launch of the face lifted Indigo and Indigo Marina range. The Tata Indigo sedan was launched in December 2002, while the Indigo Marina was launched in ...

Best Investment Newsletter

- 46% in 2008

- invest in the best performing US stocks only and sell them when the uptrend is over

- very easy to follow, simple buy/sell signals

- no need to have investing or trading experience

Find More Now!


Tata Motors to produce US$2,000 car
> © 2006-2017 AutoNews24h.com except where otherwise noted