Despite competition from Tata, known for building the world’s cheapest car, Suzuki has no plans to compete head-to-head with the Indian automaker. Currently Suzuki has a stranglehold on emerging markets like India, but Tata is looking to take a chunk of that with the Nano, which undercuts the already inexpensive Suzuki models.
Slamming the Indian-made Nano, Suzuki boss Osamu Suzuki said that building an even lower model vehicle is not a part of the company’s plans as it, “wouldn’t be a car anymore.”
The main reason that Suzuki is letting Tata have the lower end of the market is that it feels an even lower model would devalue the brand. The Japanese automaker cites concerns that such a model would require reduced safety and comfort, two areas where it’s not prepared to perform cuts.