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India's giant Tata Group will this Thursday make public the world's cheapest car, which analysts say could make worldwide prices smaller. Ratan Tata, will kick off an auto show with the inauguration of the long-awaited "People's Car", which will carry a sticker price of 100,000 rupees or 2,500 dollars.
Ratan Tata helped design it, and is intended at getting Indian families off their motorbikes and into cars. Ratan Tata said: "I hope to make a contribution to making life safer for them (the masses),"
Small cars are likely to lead the biennial auto show, which has become one of Asia's largest and is anticipated to draw 1.5 million visitors. Domestic and international carmakers have been in a race to corner India's small car market, which accounts for over two-thirds of domestic sales in the country of 1.1 billion people.
Tata has said it is targeting its car at Indian and additional promising markets. The car would cost about half the price of its closest competitor in the Indian market made by Japanese-owned Maruti Suzuki that sells for 4,800 dollars.
A Tata Motors board member said the car would get 25 kilometres per litre of fuel. Tata has said it believes it could eventually sell one million "People's Cars" annually.
World's cheapest car - $2500
The model to be revealed on Thursday has no radio, no power steering, no power windows, no air-conditioning and one windshield wiper instead of two. The rear-mounted engine built by the German company Bosch has 600 to 660 cubic centimeters, with a horsepower in the range of 30 to 35. The car's top speed is 75 miles an hour.
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