Tata Motors unveils new petrol engine as consumer tastes shift

MUMBAI Mon Jan 20, 2014 5:55pm IST

Tata Motors logos are pictured outside their flagship showroom in Mumbai May 28, 2013. REUTERS/Vivek Prakash/Files

Tata Motors logos are pictured outside their flagship showroom in Mumbai May 28, 2013.

Credit: Reuters/Vivek Prakash/Files

Related Topics

Stocks

   

MUMBAI (Reuters) - Tata Motors Ltd(TAMO.NS) on Monday showed off the first variant from its new series of petrol engines, expected to power some of its future cars, as the company looks to capture a returning shift in consumer preference for the fuel.

With the government allowing fuel retailers to gradually increase the price of diesel - a popular fuel in India thanks to government subsidies - the gap between the prices of petrol and diesel is narrowing, causing demand to slowly gravitate back towards petrol cars.

Tata Motors, which has seen sales plunge this year amid a wider slowdown in the auto market, generates the bulk of its passenger vehicle sales through diesel-powered vehicles.

"Petrol represents a big opportunity for us. Our play in petrol has been lower than we have in diesel," Ranjit Yadav, president of the company's passenger vehicle business unit, told reporters.

The new 1.2 litre turbocharged engine will be used in the company's compact vehicles, some of which are expected to be launched later this year.

(Reporting by Aradhana Aravindan; Editing by Anand Basu)

FILED UNDER:

Fast-tracking Projects

REUTERS SHOWCASE

Oil Prices

Oil Prices

Brent edges further above $61 as companies cut upstream investments.  Full Article 

GST Bill

GST Bill

Cabinet clears bill for nationwide goods and services tax.  Full Article 

Aviation Sector

Aviation Sector

Breakingviews: SpiceJet rescue is no fix for India aviation woes.  Full Article 

Global Economy

Global Economy

Fed confident on U.S. growth, opens door wider to rate hike.  Full Article 

Reuters Poll

Reuters Poll

BSE Sensex to hit 32,980 by December 2015  Full Article 

Banking Sector

Banking Sector

Japan banks to bulk up India presence on improving ties   Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage