Business Daily from THE HINDU group of publications Sunday, Sep 03, 2006 |
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Corporate
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Outlook HM plans to launch sub-one-tonne vehicle Mayur N. Shah
THE TATA ACE
Mumbai , Sept. 2 Hindustan Motors (HM) plans to introduce a sub-one-tonne vehicle on the lines of the popular Tata Ace. It is now undergoing test trials at ARAI (Automotive Research Association of India) and will be launched in a span of four months, said top officials. The model will be manufactured at HM's Pithampur plant. However, the spokesperson did not wish to comment on future product developments. The company has sourced the body design from a Chinese company. Senior officials said that the front look of the vehicle is quite similar to the `Maruti Omni Van'. HM will introduce the vehicle in diesel, LPG and CNG variants. According to officials, the diesel variant will have a 1.5-litre engine, while the LPG and CNG variants will bear the 1.8-litre engine with the necessary fuel option kits. These engines are already part of the HM stable and readily available with their flagship model, Ambassador. The officials said that the vehicle would be in the price band of Rs 2.5-3 lakh. Current market leader Tata Ace is available at a price band of Rs 2.35-2.60 lakh (ex-showroom Mumbai). HM will be one of the early entrants to have joined the bandwagon of auto players who are eyeing the new and upcoming segment. Other players such as TVS, Bajaj, M&M, Eicher, Piaggio, Ashok Leyland, Atul Auto and Swaraj Mazda are also eyeing the new segment. In fact, most of the competitors are developing their respective carriers with the Tata Ace in mind. While other players gear up to launch their respective carriers, Tata Motors is about to launch the passenger version of Tata Ace.
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