Tata Motors Readying Next Generation of the Nano

There was a lot of buzz in 2009 when Tata Motors fulfilled their promise of making the cheapest car in the world in India with the Nano. However, the 'cheapest car' tag did not really deliver the goods for Tata since the car's sales plunged over time. This dip in numbers then brought around some special editions.
Last year Tata Motors finally introduced the Nano with a power-steering option and CNG. It was, perhaps, then that it struck the carmaker that it could do better, and that is why the next generation of the car will be out soon.
Though the new Tata Nano's front fascia will feature some changes, the overall design will essentially remain the same. The car will also come packed with loads of features. However, the biggest change will be under the hood; well, in the case of the Nano, at the back.
The current generation of the car sports a 38bhp churning, tiny 2-cylinder 624cc petrol engine, and from what we hear, that's about to change. There is a more powerful engine in the offing, probably a 800cc. The company has also been toying with the idea of an automatic transmission in this car, but that will take some time.
The plan for Tata Motors, then, is to not make the Nano the cheapest car, but the most accessible. The upgraded Nano will not be anywhere close to cheap, and will be priced competitively as compared to Hyundai and Maruti Suzuki cars.
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