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raw materials costs


Material prices pushing up the cost of the Tata Nano

Tata Motors is finding it increasingly difficult to meet its own self-imposed price target of $2,500 for its minimalist Nano. The latest issue is rising costs of raw materials, particularly steel. Steel prices have increased by half over the last 12 months, and other commodities are on the rise as well. At least part of that is due to rising energy costs, both for manufacturing the components as well as transporting them. The high cost of oil also feeds into more expensive plastics. Tata has built in a sliding cost scale for many of its ... Read more →

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