New Delhi: A historic event: The Tata Nano, clearly emerged as the highlight at the recent Auto Expo in the capital, succeeding in making global history, not just for Tata Motors, but for the Indian industry and the global auto industry in general.
Murad Ali Baig,
No country in the world has so far been able to produce such a complete modern car at such low cost. The Indian automobile industry has been sustained by foreign technologies. It is only now that it can aspire to be a global leader. Earlier, `peoples cars’ like the Volkswagen Beetle, Fiat 500 and the 425 cc Citroen 2CV had been huge global successes, until they became technologically obsolete.
The car: For easy comparison, the Nano is 20 cms shorter than the Maruti 800 but 20 cm taller and six cm wider. It will comfortably seat four large adults and be easier to park. It will also weigh 100 kg less. The 33 bhp engine will generate less gross power than the 39 bhp of the old M-800 but with modern electronic sensors of the multi point fuel injection, instead of the old carburetor, it will be able to deliver enough stable power for an air-conditioner (on the deluxe model) and for driving on mountain roads.
With a rear engine and transmission there will be less weight in front, so power steering will not be necessary. The 623 cc petrol engine will certainly be fuel efficient and the 20 kmpl as claimed, seems realistic. It will meet international crash test safety norms but on the flip side it will have very little boot space. And with a maximum claimed speed of 104 kmph, it will not be very suitable for highway travel. So it will essentially be a cute commuting car for Indian towns and villages.
Achieving low costs: India’s frugal manufacturing costs are already attracting brand names like Hyundai, Suzuki, Ford and Renault to make India a base for part of their global manufacture. The Nano’s frugal costs are the result of innovative product and production technologies as well as astute business management.
About 70% of all cars are made by their component makers so the Nano is the product of huge joint innovations by them all. Bosch, for example, has created a totally new fuel injection system with one injector feeding the two cylinders turn by turn with precise electronic controls. The body is all steel but more plastics will lower weight and costs and many accessories have been minimized. Every supplier has had to shave weight, add value and contain costs.
Costs were also contained by going immediately to a very large scale production of 2,50,000 units a year and requiring that their main component makers set up plants next door to their tax haven site in Bengal. These have shaved pennies through fast and efficient deliveries and pounds by eliminating many taxes and inter state taxes on the car and its many components.