Sales of Tata Motors Ltd.’s Nano have been dropping but now, the manufacturer of the world’s cheapest car faces another setback. Owners of the Tata Nano car, which was launched in 2009, will be contacted and will be offered the option to install safety protection in the vehicles. Last year, a few of these vehicles had caught fire.
In a statement, Tata said that about 70,000 owners will be offered the option of installing "additional safety protection in the exhaust system and the electrical system." Tata emphasized that this move is not a recall, explaining that the fires were specific to the units.
Tata added that the investigation conducted by a group of internal and international experts has once again concluded that the reasons for the incidents in few Tata Nano cars are specific to the cars which had such incidents.
It said that the probe discovered instances of additional foreign electrical equipment being installed or foreign material left on the exhaust system.
According to the Indian business daily The Economic Times last Wednesday, seven incidents have been reported to date. When the Nano was launched, it was very popular as it allowed the middle class in India to own a car.
Last month, Tata sold 5,520 units. Sales are expected to go up in October as it is the strongest month for Indian auto sales because of the timing of the annual bonuses and a festive season. But Tata only sold 3,065 Nano units last month. [via autonews - sub. required]