Nano Production: Tata Motor’s small vehicle segment, Nano has come with a bang on in the market, but it seems that the popularity of the vehicle is diminishing day by day. The company might end the production of the small car in the near future as they have just delivered a single unit of Nano in the month of June. However, it is not yet confirmed officially for the ending of the low-budget car.
Tata Motor has introduced the entry-level vehicle for all the peoples who search for a mini-vehicle sufficient for small families and that too under budget. It was one of the best choices for families who are buying their first car to replace their two-wheelers. In May, the company managed to deliver only three units in the local market. Compared to last year the sales have dropped shockingly. They have sold 275 units in June 2017 (just one unit in June 2018) and local sales were at three units in June compared to 167 units last year equivalent month.
Regarding the plans of ending the production of Tata Nano, a Tata Motors member declared, “We are well aware that the Nano in its present form cannot continue beyond 2019 and may need fresh investments to survive. No decision has been made yet in this regard. Meanwhile, we continue to produce Nano catering to customer demand in key markets.” The popular Indian automotive company also informed that they haven’t exported a single unit in June this year. Although, in 2017 same month, the automotive maker has sent 25 units small car Nano.
The Tata Nano was introduced to the market in March 2009 but was first debuted at Auto Expo 2008 By Ratan Tata, Former Chairman, Tata Sons. The vehicle was introduced at an affordable price tag of just INR 1 lakh. It was addressed by Ratan Tata declaring that “a promise is a promise”.
As you all know, Nano had a tough time since the launch. The company has planned to manufacture the vehicle from the Singur facility in West Bengal, but it was surrounded by challenges in terms of political and farmer protests for taking over of property. So, they soon decided to move the generation to a different factory at Sanand in Gujarat. The toughest time was when the car was reportedly catching fire after the delivery to buyers. At last, they declared that it was the biggest blunder to introduce Nano as ‘the cheapest car’.
Nano has undergone the Tata Motors in terms of loss occurred and the company posted that “consistently lost value, peaking at Rs 1,000 crore”. The ex-chairman of the company, Cyrus Mistry, states that the firm didn’t end the production of the Nano soon after the loss because of ‘emotional reasons’. However, it was the biggest ‘loss-making model’ for Tata Motor.
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