Tata Nano exits in failed experiment :Enter Nexon
Tata Nano, touted as the people’s budget car, is no more following the discontinuation of manufacturing of this car by India’s Tata Motors, just after a decade since its launch in Sri Lanka, Indian media reports revealed.
Confirming the non-availability of Tata Nano in the market the Chairman and Managing Director of DIMO (Diesel & Motor Engineering PLC), Ranjith Pandithage told the Business Times that this situation has arisen owing to the auto model change of the Indian company with a new model coming in as a replacement.
A spokesman of the company told the Indian media that low sales combined with the company’s move to a two-platform strategy for its future models was the reason behind this move.
He was quoted as saying that the cost of updating the Tata Nano to meet the new crash test norms coming into effect from October 2019 would not bear fruit, considering only three units of the small car were sold in the country in June 2018.
The sale of this cheap car is the brainchild of business tycoon Ratan Tata launched in India on March 2009 and in June in Sri Lanka has fallen to an all-time low this year, Indian media reported.
More than 5000 Tata Nanos are plying on the roads of Sri Lanka; a senior official of the Motor Traffic Department said adding that in addition to this, it was one of the top 10 models sold for the last four years including the financial year 2017-18.
According to the Society of Indian Automobile Manufacturers (SIAM) data, the company hasn’t exported a single Nano in the last six months.
Business Standard reported that Tata Motors dealers have stopped placing order for Tata Nano and are also offering discounts to clear out its existing stocks.
DIMO’s Mr. Pandithage said owners of these cars should not entertain unnecessary fear as there were sufficient stocks of spare parts for the vehicle and DIMO continues it’s after sale service without any hindrance.
He disclosed that Tata Motors is trying to fill the product gaps with the introduction of Tata Nexon, the 4th product based on the ‘Impact Design’ philosophy, which is trying to recreate Tata’s brand image in the international market.
Dimo, the sole agent of Tata with a relationship spanning over 57 years, will be offering a compact SUV, the Tata Nexon for local car buyers, he said, adding that it will be a better option than Nanos.
The Nexon is the culmination of Tata’s shift in thinking and this SUV will further expand Tata Motors’ international market including Sri Lanka, he opined.