Indian car marker TATA have just launched their new “peoples car” known as the Nano. The 623 cc car sports a rear engine driving the back wheels and is expected to sold in India at 100,000 Rupee  (aprox $2500 US). Prior to launch the car earned the nickname the 1 lakh car due to its price  (lakh is used India to mean a hundred thousand). The car is claimed to meet Euro crash test standards but it is highly unlikely to be exported there. Most sales are expected to go to middle class indian families who previously could not afford a new car, exports to India’s low income asian neighbours are highly likely too.

http://www.transeum.com/motor-shows/tata-nano-the-worlds-cheapest-car.html