Tata may launch world's cheapest car Nano in US

India's Tata Motors may consider launching its ultra-cheap Nano car in the United States in three years, its chairman said yesterday, following possible sales in Europe by the end of 2011.

"We also recognise there is a market [for the Nano] not only in developing countries, but possibly in the developed countries," said Ratan Tata.

"For the United States we need a car which has a larger engine and we need additional crash test modifications and we are in the process of doing it."

The United States is the world's largest auto market, but data this week should show China surpassed it with about 13 million vehicles sold in the Asian powerhouse this year.

The Nano, whose billing as the world's cheapest car gained it significant attention from across the globe, was showcased by Ratan Tata at the previous edition of the New Delhi autoshow two years ago.

Tata has said his company may produce hybrid versions of the model and that Italy's Fiat and Tata Motors plan to sell the Nano jointly in Latin America. Analysts have fretted that Tata Motors has overstretched itself by acquiring the Jaguar and Land Rover brands in 2008. Tata also said there was no plan to acquire one of Fiat's manufacturing facilities in Italy, denying media reports.

Toyota and Honda have launched compact cars to tap the price-sensitive India market.

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