A few months ago, I wrote about the move of several auto manufacturers to create a car priced at or below $3,000.
Here is a good follow-up piece from Der Spiegel. It seems that while many struggling carmakers were living in fear of competition from these ultra-cheap cars, they may be in the clear for at least a little while longer.
Automakers already struggling with intense competition in the United States and many other regions of the world have long worried about their prospects after China and India begin building large numbers of ultra-cheap cars.
But Chinese carmakers have experienced numerous setbacks to their global ambitions, and a new study of the Indian auto industry reveals more obstacles than many outsiders expected.
Also of interest:
Rob Katz of WRI discusses the Independent article “Just What Overcrowded, Polluted India Didn’t Need – The $3000 Car”.
Nitin Rao also of WRI comments on the ultra-cheap car and the role of government.