The homegrown carmaker, Hindustan Motors is going through a bad phase in the Indian car market. However, the company is aiming to make a comeback and is planning to introduce a compact sedan in the country by next fiscal. It is also speculated that the sub-4 metre Ambassador will be unveiled at the next year's Indian Auto Expo. Interestingly, the company is engaging in talks with Fiat for engine supply.
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Currently, HM only has Ambassador with 1.5-litre engine, which is unlikely to power the new compact car. So, the company needs a smaller engine to avail the excise benefits. This will surely help the carmaker to price it competitive in the market. The BS-4 compliant 1.5-litre engine for Ambassador Encore model is not matching up with the competition, and it belts out just 49bhp and 112.5Nm of torque.
It is understood that the homegrown automaker needs a better engine and what could be better than the Fiat's 1.3-litre "multijet" engine. Yes, the multijet engine which already been available in the country's top selling cars including Swift, Swift Dzire and others. Speaking to ET, Uttam Bose, CEO HM said that the Ambassador needs better technology, and an announcement will come shortly.
This is all what we have for now, stay tuned to CarDekho for more updates on the same.