Friday, March 28, 2008

Tata Xenon price in Thailand to be cheaper than rivals

The Tata Xenon one-ton pickup, the first Thai-made vehicle from India's largest automaker, will be cheaper than its Japanese and American rivals in the local market but with just as much durability and safety, say executives of Tata Motors Thailand Co.

The Xenon is expected to be a highlight at the Bangkok International Motor Show, which opens to the public today at Bitec Bang Na and runs until April 6.

The model comes in two versions, both two-wheel-drive, with the extended cab priced at 519,000 and 529,000 baht and the double cab at 599,000 baht.

''The prices announced are temporary until the end of next month,'' said Sompong Polchitcharoen, general manager for marketing.

The Xenon is slightly less than 100,000 baht cheaper than Japanese and American pickups but offers only a high-body version. The new prices will be 539,000 and 564,000 baht for the extended-cab versions and 629,000 baht for the double cab when the introductory prices expire.

Tata has appointed more than 20 dealers, three in Bangkok and 17 in central and the northeastern provinces. The network will be extended into the northern and southern areas soon.

Ravi Kant, managing director of Tata Motors Co of India, noted that Thailand was the world's second-largest market for pickup trucks after the United States.

''Sooner or later, we have to come here one day,'' he said.

He said the Xenon was developed and built in Thailand after a great effort to research Thai consumer needs.

Mr Kant attended the launch after Ratan Tata, chairman of the Tata Group, cancelled his trip to Thailand at the last minute because of illness. In a statement released at the Xenon launch, Mr Tata said he hoped that Thailand and Asean would become the key markets for Tata Motors in the near future.The Xenon was designed in England and features engine technology from Germany. It has a 2.2-litre direct-injection, commonrail engine, producing 140 horsepower. The vehicle can also run on B5 biodiesel. The body, using 0.8- to 1.55-millimetre-thick steel sheets, is thicker than other pickup trucks in Thailand to ensure durability and safety.

Tata Motors has invested 1.3 billion baht in Thailand to produce pickup trucks. Initially, the Xenon will have 50% local content to assure that inexpensive spare parts would be readily available.

The Xenon is assembled at the Thonburi Automotive Assembly Plant in Samut Prakan where luxury Mercedes-Benz cars are also made. A Xenon that runs on natural gas is scheduled to go on sale in the second half this year.

Mr Sompong said Tata hoped to obtain a 1% share of the local total pickup truck market or about 4,000 to 5,000 units this year. It hopes to have a 5% share within five years.

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