Kolkata, Nov 30: Hindustan Motors (HM), owned by C K Birla group, is keen to enter the `C` segment of the Indian car market with the help of Mitsubishi Motors of Japan, company sources said. The HM, which was already manufacturing Mitsubishi`s `D` segment car Lancer at its Chennai plant under a technical agreement, was having discussions with the Japanese company in this regard, they told reporters.
Sources said that entering the lower end of the market would require huge investments, adding that capital needed would be much lower to make an entry into higher or `C` segments.
However, sources said that nothing had been decided as yet and that preliminary discussions were only going on.
Meanwhile, HM would shortly launch a new ambassador variant `Avigo` which will have leather upholstery, power steering and sound-proof interiors and would be priced at Rs 4.25 lakh approx.
This is the second ambassador variant launched by HM this year, the first being `Grand`.
The company was also planning to introduce a new Pajero variant 3.2 litre diesel version in India as CBU (completely built unit) for which it was awaiting Mitsubishi`s approval.
Bureau Report