Nano was the dream project of Ratan Tata, former chairman, of Tata Group. The 'world's cheapest car' was launched in 2009 at one lakh. However, the 'cheapest' tag didn't augur well for the company.
Tata Motors gave it all to make Ratan Tata's vision a success in the years followed. New iterations notwithstanding, Nano failed to woo consumers.
Later, Nano proved to be the bone of contention between Ratan Tata Tata and ousted chairman Cyrus Mistry. The latter had alleged that the Tata Motors is unable to shut down the loss-making small car owing to "emotional reasons." However, the developments put Nano's future in balance.
Meanwhile, the latest shift in Tata Motors' tack looks bad for Nano.
Tata Motors launched a new sub-brand, TAMO, on February 2. The brand aims at low volume, low investment, low maintenence models with special stress on eco-friendly drivelines and modular architecture. The company officials, during the brand's official launch, made it clear that Tata will reduce its platforms to two from the current six,
Tata platforms in a nutshell
The first one is AMP (Advanced Modular Platform) on which the Tiago is based. Upcoming Kite 5 sedan and Nexon compact SUV will also use the same platform. The second one is the derivative of Land Rover Freelander 2's platform. The platform will leverage Tata's upcoming flagship SUV. Meaning, Tata Motors is not keen on developing Nano's X302.
When asked if Nano will be part of company's future by 2018, Guenter Butschek, MD and CEO of Tata Motors said "I can't tell you right now because these are decisions in line with the PV strategy. These decisions are going to be taken in alignment with the board as the time and the need appears," reports Business standard. Though he didn't dismiss Nano's presence in the future portfolio, it is evident that the silver lining is fading for Ratan Tata's dream project.