The much hyped Rs. 100,000 car is finally here. The Tata Nano was formally launched at the Auto Expo today by Mr. Ratan Tata, Chairman of the Tata Group. It is a big day for Tata Motors – for nowhere else in the world, is such a vehicle being launched at such a price point.

The car is smaller than a Maruti from Suzuki, but has 21 per cent more volume or space inside than the Maruti 800. The dealer price of the car will be Rs 1 lakh, ( Rs. 100000* plus value-added tax (VAT) plus transport charges. It is to Tata’s credit that they kept up to their word. As Mr. Tata said in his speech ” A promise is a promise”.

The car will have a 624-cc petrol engine generating 33 bhp of power. It will sport a 30-litre fuel tank and 4-speed manual gearshift. The car will come with air conditioning, but will have no power steering. It will have front disk and rear drum brakes. The company claims mileage of 23 km per litre.

The Nano is expected to be commercially launched in the second half of 2008.

I am sure this car will have tremendous demand in India when it is launched. It is akin to the first Maruti launch in 1983.

Have a look at the new site for the car: Tata Motors People’s car.