Rover has dismissed suggestions that its partnership with Indian manufacturer Tata is on the ropes and that the CityRover’s future is in jeopardy as a result.
Rover has dismissed suggestions that its partnership with Indian manufacturer Tata is on the ropes and that the CityRover’s future is in jeopardy as a result.
The Financial Times newspaper said bosses from the two companies were having urgent meetings in Mumbai to save the distribution deal that launched the Indian-built CityRover in the UK last November.
The report said the two firms had fallen out over pricing and alleged quality problems with the city car.
Rover said that it was happy with the partnership, however. It claimed the latest meeting between the two companies was part of a regular schedule of summits used to ensure the success of the distribution deal.
A spokesman said: ‘It does not quite have the crescendo of importance the Financial Times has given it.’
He added that it was untrue Rover was disappointed with sales of the CityRover. Sales had been more than acceptable, he said, with 5500 sold so far this year – 2500 more than the figure quoted by the Financial Times.
The spokesman would neither confirm nor deny rumours that Rover planned to cut CityRover prices – critics claim its £6500-£8900 cost is too high compared with more modern rivals such as the £6300-£8000 Fiat Panda and £5500-£7000 Kia Picanto.
He said Rover constantly looked at ways to make all of its products as competitive as possible but would only announce changes at the time of their introduction.
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