Tata Motors to set-up plant in Indonesia for Nano

Tata Nano showroom

India’s third-largest car maker, Tata Motors plans to set up the Nano manufacture plant in Indonesia through an alliance. Indonesia is the third-largest car market in Southeast Asia. The government is very keen on having Tata Motors manufacture the Nano in Indonesia and are drafting various incentives to lure the automaker there.

According to Bangkok Post, Tata Motors is reportedly in talks with PT Astra International, one of Indonesia’s leading auto makers, to produce the world’s cheapest car. It will be Nano’s first plant outside India.

So far Tata Motors has been exporting Nano, made at its plant in Sanand in Gujarat, to neighbouring countries such as Sri Lanka and Nepal recently and is scheduled to go on sale in other countries in Asia, including Indonesia by the end of next year. This will increase the popularity of the world’s cheapest car by leaps and bounds.

However the Nano which will be launched in South East Asia will have a lot of new added features as compared to one sold in India. Power steering, improved engine with higher top speed, more reinforcements and more accessories like stereo will make it in the Nano.

“They have met with us. They say Indonesia has a stable economy, plenty of skilled workers and they see a good future here. They’re still exploring. So far, there’s no confirmation if they will produce the Nano cars here,” Budi Darmadi, Industry Ministry, transportation chief of Indonesia, said.

Also see – Nepal – Tata Nano clocked 352 bookings in 10 days