Nano: The World's Cheapest Car

Tata Motors today took the covers off the world’s cheapest car — the Nano. Over the past year, Tata has been building hype for a car costs a mere 1 Lakh (roughly $2,500). Since the name was unveiled only today, it has been popularly dubbed the “People’s Car.”

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.

Nano, the world's cheapest car, costs almost half of the cheapest car currently available anywhere in the world. Some analysts have criticised the car as they feel a lot of safety features have been comprimised. Compare with most cars where even the basic safety features cost over $2500.

The Nano is expected to be commerically launched in the second half of 2008. 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.