19 April 2007

A New $10,000 Car?

WASHINGTON (AFP) - Sensing an untapped market, Japanese automaker Nissan is "seriously" mulling the launch of a small car in the United States priced under 10,000 dollars, top executive Carlos Ghosn said Wednesday.

As the article notes, Ghosn is also the chief executive of Renault and Renault already sells cars priced at ~$10,000 in Europe. As such cars presumably meet European regulatory standards they would also likely meet American regulatory standards. I would see their introduction as a major boon to those who would like a new car but can't afford one; indeed, used car lots would likely take a major hit after their introduction.


MP said...

There was an article in Forbes about Tata Motors of India, who is gunning for a $2500 car.


Unsurprisingly , the can't sell it in America. According to the sidebar, they'd face an extra $4000 in costs to make it US worthy.

Grotius said...

Well, it does surprise me that given the size of the used auto market that someone hasn't moved in and started selling cars in the $10,000 or less range.