Small and Cheaper cars are in huge demands by middle class. 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. Bajaj’s ultra-low cost car being manufactured jointly with Renault and Nissan promises to give hot chase to the Tata Nano.
According to industry observers, the project also got delayed as partners were stuck on pricing issues as well. While Renault wanted a low-cost car, Bajaj was keen on a car that would sport high mileage and low maintenance.
On Monday, Rajiv Bajaj MD, Bajaj Auto confirmed the $2,500 (Rs 1.1 lakh) price tag for the car. The Bajaj car will be cheaper than the Nano, which comes at Rs 1.23 lakh-1.72 lakh.The car was initially scheduled to hit the market this year, but has been postponed to 2012. Bajaj Auto displayed the prototype of the small car at the 2008 Auto Expo. However, the three partners were stuck at various levels of branding and engineering the car till last year.
Officials from the alliance have said the car will be smaller than Maruti Suzuki’s Alto, which is the biggest selling model in India.
Ghosn finally announced the finalisation of the project. “As per the agreement, the design, engineering, sourcing and manufacturing will be handled by Bajaj Auto, while marketing and selling will be (done) by Renault-Nissan Alliance,” he said. But he had declined to comment on the pricing of the car.