Tata will launch a city car in Europe within the next five years.
The car will be inspired by the Tata Pixel concept, a four-seater that is 3.05m long and 1.63m wide, which was launched at the Geneva motor show.
Although the concept has scissor doors and a large glass roof, neither of these items are expected to make production.
However, Tata insists some of the other styling flourishes will remain, including a system that moves the wheels in sharp turning, giving the car a turning circle of a tiny 2.6 metres. The car is also fitted with 'My Tata Connect', an infotainment system that integrates the driver's smartphone or iPad into the car controls.
As a result, Tata is reluctant to label the car a European Nano as it doesn't want it to be perceived as a 'back to basics' means of transport. Testing of the car is already underway, according to a company insider.
'It will definitely be priced below its rivals, but it will be about value for money, not creating a revolutionary product that broke price records, as with the Nano,' said a spokesman.
Although the Pixel concept is powered by a 1.2-litre, three-cylinder turbodiesel engine, a company insider told What Car? that 1.0-litre petrol and electric powered versions of the car are under development, and that all three powertrains could be sold.
The Pixel's turbodiesel manages 83mpg and emits 89g/km, figures boosted by low-resistance tyres, stop-start technology and energy recovery systems.
Tata EV driven
We've driven a Tata electric vehicle at the Geneva motor show, check out the video below.
Our reviews are based on hard data and thorough testing in the real world.
Up to the minute news from around the globe