As we know, the Tata Nano is the world’s cheapest car and is now being prepared to hit the U.S. market. However, once it has been upgraded to meet with tougher North American safety and emission standards, it will not end up being that cheap, some estimate the Nano could cost about $8,000.
The small car was brought to the 2010 Detroit Show last week, which The Economic Times said was all part of a publicity stunt. The small and cheap vehicle sells for $2,500 in India, but standards are not as strict there so is much easier to keep costs down.
We do not know when the Tata Nano will be ready for sale in the U.S., but recent reports suggest at least another three years. There is already a European version coming in 2011, which has a price tag of $8,000, not bad for a four-seater car.
So what is driving the price up on what is the world’s cheapest car? Firstly structural changes will need to be made to make it much safer for U.S. law. That small 623cc engine needs an upgrade so that it would produce less emissions. The current model has no airbags, so some will need to be fitted to protect the occupants.
The most comparable vehicle would have to be the Hyundai Accent, which has a price of $9,970. So even with the higher ticket price, the Tata Nano would still be the world’s cheapest car.