Tata Nano, one of the cheapest cars in the world will have a direct competitor – a car that will cost $500 less.
A new little company from London – -UK, called EcoCa Ltd, announced today, that is preparing to produce a 340 cc two seater petrol car for as little as $2.200, which is less by $487 as the current price of Tata Nano ( ~ $2687 ).
Karman M Naghdi, MD of EcoCa Ltd: “We have identified India as a lucrative market to achieve our price target of $2,200 which will also help us earn healthy profit margins,”
While Mr Naghdi refused to disclose the name of any company EcoCa is in talks with, an auto industry executive familiar with the development said Mahindra & Mahindra could be one of the companies.
A top M&M official, however, refused to confirm any such development.
“We keep getting such proposals for technology and product development which we routinely evaluate,” he said, requesting anonymity.
At this moment no plans or designs has been released, but we know that the extra low cost car design will be inspired after VW Beatlle, will have a automatic transmission, convertible roof, and most probably will be build from a high strength ABS plastic.
EcoCa’s car will weighs only 330 kg against Nano’s 635 kg and will deliver a fuel efficiency of 27-28 km/litre of petrol against Nano’s 23.6 km/litre under standard test conditions. However the top speed of this lowcost car will be set to 70 km/h, lower 33 km/h than Tata Nano.