Indian automobile major Tata Motors is planning to launch a new compact car ‘X0’ based on the Indica platform in the Indian market. The decision follows the falling sales of the Nano mini car and is expected to offset the slowing demand for Nano car model.
The carmaker’s decision is also part of an overall plan to restructure its production at its Ranjangaon facility in Pune and Sanand in Gujarat. The month of April 2013 witnessed the second lowest wholesale dispatch of 948 units of the Nano, while the carmaker has an installed capacity to produce a total of 2,50,000 units of the Nano annually.
The new car model which is under development at the Sanand plant is expected to be rolled out by the year 2015. The current aim of the company is to optimize its production processes at Sanand and avail appropriate return on investments.
