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Japan’s Top Automakers to Roll Out Low-Priced Cars in Emerging Markets

by BBelew57 on August 28th, 2007

While reading AutoMill's low down on and questions regarding the availability of the 2008 Nissan Versa: Solid Entry Level Sedan Available Now?, I also learned elsewhere that Japan's top automakers, Honda Motor Co., Nissan Motor Co. and Toyota Motor Corp. are preparing to release low-priced vehicles priced at around 700,000-1,000,000 ($6,200-9,000) to sell to the BRIC countries (Brazil, Russia, India and China.)…and they'd like to do it sooner than later…NOT waiting till the fall season as was done long ago.

The automobile markets in the BRICs has been growing at 10-20% each year for the past 6-7 years…making up one fifth of the global automobile market.

However, in China and India only 2% of the population has a car =

only the rich.

Honda will design a new model smaller than its Fit to be produced in India by around 2010.

Nissan has a one-liter car for release in 2009 to be rolled out from plants in India, Thailand and China starting in 2009.

Toyota will have an entry-level family car for BRICs with production starting in India in 2010.

Prices will be kept down by using locally produced parts and cutting expenses for protoypes by using digital design technology.

European and South Korean automakers are leading in the development of low-priced cars and an Indian automaker has one car for $2,500-3,000.

(That's what I paid for my 68' VW Beetle back in '68!) 

Japan will try to beat them by blowing their advanced technology, environmental and safety horns.

Japan can do cars better, no doubt. But, they also need to be affordable.

My experience is that people will pay more for better quality.

I wonder what Automill thinks? 

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POSTED IN: japan