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Tata Motors considering plans to stop production for Nano soon

Tata Motors considering plans to stop production for Nano soon
Nikhil Puthran Nikhil Puthran Monday 06 August 2018, 16:25 PM

Tata Motors has hinted at its plans to end the production for the Nano at the recently concluded 73rd annual general meeting. Tata Motors Chairman, N Chandrasekaran reportedly claimed that upgrading the Nano to Bharat Stage VI (BS-VI) will be a costly affair, thereby hinting on plans to end the journey of the struggling model. The company had sold a total of 65 units in April-June 2018, of which only three units were sold in June with just one unit produced. In July, the company has however managed to produce 50 units at its Sanand facility in Gujarat.

Moreover, upgrading the Nano as per latest crash test norms which will come into effect on 1 October, 2019 involves high costs. Along with plans of discontinuing the Nano, the company is also planning on working on two new modular platforms, namely the ALFA and OMEGA, for its future models.

Tata has been selling the Nano for a decade now, however it has been witnessing low sales for a very long time. The company has also phased out older cars like the Indica and the Indigo in the country while other products like the Safari, Zest and the Bolt have also been witnessing a considerable decline in demand. On the bright side, newer cars like the Tiago and the Nexon have been generating good numbers and attracting potential new buyers to the brand.

 

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