Tata Motors has taken a few technical measures in the Nano, post the ‘fire’ incidents involving the car. The new additions are 1) a cover for the catalytic convertor, 2) addition of a fuse in the electrical system to prevent short-circuit post any after-market fitment in the car, 3) replacement of the starter motor (in cars produced till Jan ’10). The process of taking the corrective measures in the Nanos will begin from the 3rd week of November.

While these steps are being taken to pre-empt any further technical snag in the Nano, Tata Motors group CEO Carl Peter Forster insisted that there is no ‘principle problem’ with the car. He said that there was a ‘second very intense’ investigation by an independent team into the cause of the ‘fire’ incidents. These cases happened in ‘some unusual circumstances’, says Forster like in one where there was a piece of paper found in the catalytic converter. The technical measures have been taken to make the Nano more robust, he said.

Talking about the falling sales of the Nano over the last four months, Forster said that availability of finance has posed a ‘hurdle’ in sales. He says that the Nanos sold in the initial months were mostly bought by people who are not the actual target customers of the car. The intended customers, who are mainly two-wheeler owners, are facing some problems in getting finance as many of them do not enjoy the same credit worthiness as regular car buyers. Forster says Nano sales are set to pick up again once the finance related issues are sorted out.

Tata Motors has sold over 70,000 Nanos till October end. The car is currently available for purchase in Karnataka, Maharashtra, Uttar Pradesh and West Bengal. Open sales will gradually be extended state by state.