Sales affected by Delhi's ban on diesel engines displacing over 2.0 liters.
Given that the Supreme court has extended the ban on vehicles with diesel engines displacing over 2.0 liters in the Delhi NCR region, Tata could introduce smaller sub-2L engines for their products currently fitted with the 2.2-liter VARICOR engine.
It's unclear if Tata will follow Mahindra's path, and re-engineer the motor to displace under 2.0 liters in total, or work on an all new engine. The latter is highly unlikely as it takes almost or more than a year for its development, whereas re-engineering the 2.2L unit is a quicker solution.
The products to get the sub-2L diesel engine are the Tata Hexa and Tata Safari Storme. It is also unclear if the Tata Hexa will be fitted with a smaller engine right from launch, which is expected to take place in June 2016.
To resume sales in the Delhi NCR region, Mahindra had introduced a smaller 1.99-liter engine for the Mahindra Scorpio and Mahindra XUV500, which is a re-engineered version of the 2.2-liter mHawk unit in both models.
[Source: ET Auto]