Tata launches more powerful Nano 624 cc

Tata Motors introduced a more fuel efficient and more powerful model of the Nano mini car. However, despite the vast improvements of the new model, the company sells the Nano 624 cc at the same price as the previous model, in the Rs1.40-1.96 lakh (US$2,640–3,696) price range. The Nano’s 624 cc engine has 38 horsepower, compared with the previous version’s 35 horsepower. The previous Nano version offered a fuel efficiency of 23.6 kilometers per liter, while the Nano 624 cc can achieve up to 25.4 kilometers per liter. Three years ago, Tata Motors launched the Nano and expected the world’s cheapest car to be a run away success. But Tata Motors was beset with problems after launching the Nano. Output was initially delayed because the company had to move its plant from West Bengal to Gujarat, and then some Nano units caught fire. Nano sales have remained below expectations. From April to October, sales fell to 33,245 units, an 18% decrease year-on-year. (November 21, 2011)