Tue, 04 May 2010 07:18:10 GMT

Bajaj car to be world’s cheapest

Mumbai/New Delhi: Bajaj’s ultra-low cost car being manufactured jointly with Renault and Nissan promises to give hot chase to the Tata Nano. On Monday, Rajiv Bajaj, MD, Bajaj Auto confirmed the $2,500 (Rs 1.1 lakh) price tag for the car, announced first by Renault chairman & CEO Carlos Ghosn at the company’s shareholders’ meet late last week. The Renault announcement comes a few days after it pulled out of its loss-making Logan venture with Mahindra & Mahindra.

Bajaj car to be world’s cheapest

The Bajaj car will be cheaper than the Nano, which comes at Rs 1.23 lakh-1.72 lakh (ex-showroom Delhi ). After the launch of Tata Nano, the race for the No.2 position in the ultra-low cost car segment is under way in India , which as emerged as the Mecca of this segment. However, other automakers' plans to enter this segment are still on the drawing board.

At Renault meeting, Ghosn said: "In India , Renault and Nissan are developing an ultra-low-cost vehicle with the Bajaj group, benefiting from its expertise in light vehicles and knowledge of the Indian market." He reiterated the affordability of the vehicle for the Indian market by citing the targeted low price tag.

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