Cost to upgrade Nano is very high: N Chandrasekaran
The company separately stated that 'each car model has a business case and a decision will be taken based on each case'.
August 04, 2018 / 18:08 IST
Tata Motors 'Nano' cars are displayed before a test drive session for journalists at the company's plant in Pimpri, 160 km (100 miles) south-east of Mumbai March 25, 2009. The Nano, the world's cheapest car, will hit Indian roads in July, four months after its formal launch on Monday, and demand is expected to far outstrip supply as the price tag of around $2,000 draws legions of new buyers. REUTERS/Punit Paranjpe (INDIA TRANSPORT BUSINESS SOCIETY) - RTXD6DL
Upgrading the Tata Nano to meet the Bharat Stage VI (BS-VI) regulations will be a very costly affair for the company said Tata Motors Chairman N Chandrasekaran, signalling an end to the struggling journey of the mini car.
Addressing shareholders at the 73rd annual general meeting of
Tata Motors, N Chandrasekaran, however, did not state if Nano would be allowed a natural death especially with the industry's upgradation to BS-VI.
"For Nano to go to BS-VI, the amount of investment required will be very high and not necessarily Nano but every product all old models will have to be evaluated in terms of what will be the capital requirement based on which a call will be made," Chandrasekaran said.
Tata Motors, which is India's fourth-biggest passenger vehicle manufacturer, is upgrading some of its products while doing away with those which have been laggards. Some of the struggling products are Indica, Indigo, Nano, Sumo, Safari, Venture, Zest, and Bolt. Indica and Indigo have already been phased out.
The auto industry is working against time to meet the BS-VI deadline which ends with the conclusion of FY20. With the start of FY21, the Indian auto industry will directly jump to the new emission norm from BS-IV.
The company separately stated that 'each car model has a business case and a decision will be taken based on each case'.
Nano has been struggling to make money for the company from the very start. Despite several efforts to revive sales over the last 10 years the demand for the mini car has been disappointingly low.
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