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The Economic Times of India is reporting Tata has teamed up with German engineering firm FEV (who's also developing the hybrid system on the Mahindra Scorpio) to bring an 800 cc, turbocharged, two-cylinder diesel to the engine bay of the Tata Nano. Already blessed with a $2500 price tag and rumored to have a compressed air engine on the way, the story of the Nano just keeps getting more and more interesting. More »
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