Bajaj to cut down ULC car cost with its two and three wheeler parts

Bajaj Auto one of India's largest two wheeler manufacturer which is in process to launch a ultra low cost car model in India will manufacture this model using about 70% parts of its two wheeler and three wheeler from manufacturing unit. It is expected that because of using these parts the company will manage to cut down its expenses from Rs 1500 crore to Rs 200 to Rs 300 crore. Earlier in year 2008 the Nissan-Mahindra Renault and Bajaj Auto jointly given a statement according to which all of these three company will jointly manufacturer an ultra low cost car in India. It was announced that in this joint venture these companies will manufacture about 4 lakh units of this ultra low cost car.

Published On Nov 12, 2009 11:04 IST

Published OnNov 12, 2009 11:04 IST

Last Updated OnNov 12, 2009 11:04 IST

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Bajaj Auto one of India's largest two wheeler manufacturer which is in process to launch a ultra low cost car model in India will manufacture this model using about 70% parts of its two wheeler and three wheeler from manufacturing unit. It is expected that because of using these parts the company will manage to cut down its expenses from Rs 1500 crore to Rs 200 to Rs 300 crore.

Earlier in year 2008 the Nissan-Mahindra Renault and Bajaj Auto jointly given a statement according to which all of these three company will jointly manufacturer an ultra low cost car in India. It was announced that in this joint venture these companies will manufacture about 4 lakh units of this ultra low cost car.

“There is excess capacity in the global car market. Our thinking was that if the ULC is a standalone project, it will be vulnerable to business cycles. We decided to derisk the project by leaning on our motorcycle and three-wheelers for its platform and aggregates. Around 70-80% of the internal components should be common,” said Mr Bajaj.

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Meenal has been a writer since the time she knew what it is to write. Being a team lead at CarDekho, she guides her team to bring in fresh ideas and true stories to develop a brain storming news for the car enthusiasts across the world. Meenal started writing during her school and is continuing still. Being a post graduate in English Literature with Linguistics, Phonetics, and Grammar as her favorites, she topped throughout. And perhaps that's what helped her starting her career directly as an Editor with international clients from the very beginning. She also has been trained in and has got experience in pre-editing and master-editing journals and books. With almost 5 years of experience in journalism behind her, she still believes that she gets to learn new things about writing news every new day. She plans to start on another degree in psychology. Future plans for her include nothing more than a dynamic GROWTH for herself and SMILES on the readers' faces.Read more

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