TUV300 will take on the likes of Ford EcoSport and Renault Duster that are priced between Rs 7.88 lakh and Rs 13.54 lakh.
TUV300, which comes only with a diesel engine, is priced up to Rs 9.12 lakh for the top-end variant which showcases the AMT (auto gear shift) technology.
TUV300 will take on the likes of Ford EcoSport and Renault Duster that are priced between Rs 7.88 lakh and Rs 13.54 lakh (ex-showroom Delhi).
Besides, it will also compete with compact crossovers such as Toyota Etios Cross, Hyundai i20 Active and Fiat Avventura, which are priced in a range of Rs 6.23 lakh and Rs 8.89 lakh (ex-showroom Delhi).
"Production capacity can be further enhanced depending upon the market demand," he added.
Asked if the company plans to launch a petrol version of the vehicle, Goenka said, "We are developing 1.2 litre (model) with Ssangyong which will debut this fiscal. In the next 3-5 years, all the models we launch would have petrol engine option."
The company is also looking to export the vehicle to various global markets.
"To start with, we are looking to ship the vehicle to South Africa in next few weeks where we have good presence and then to neighbouring countries," M&M President and Chief Executive (Automotive) Pravin Shah said.
With TUV300, the company aims to strengthen its presence in the compact SUV segment. Quanto, another small SUV from the company's stable, has not been able to create sizable presence in the market.
M&M's forte has been in the bigger UV segment, with models such as the Scorpio and XUV500.
The TUV300 has been designed and developed in-house. Both the company and its suppliers have invested around Rs 1,500 crore (Rs 15 billion) for developing the vehicle.
The vehicle will be manufactured at M&M's Chakan plant, where it also produces trucks and other vehicles on the Maxximo platform.
The company claimed that the vehicle, which is built on a completely new platform, offers an average of 18.49 km per litre.
TUV300 comes with rear wheel drive, boot space of 384 litres which can be expanded to 720 litres. It is equipped with a 1.5 litre diesel engine which delivers a power of 84 bhp.
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