The iconic Ambassador car, once called the ‘Wheels of India’, is likely to hit the Indian roads in a new avatar in two years’ time.
Hind Motor Financial Corporation of India (HMFCI) and French carmaker Peugeot are collaborating on the design and engine of the Ambassador or ‘Amby’ which will be launched in a new incarnation, according to a ToI report.
The new model of the Ambassador will be manufactured at Hindustan Motors’ (HM) Chennai facility, which is run by HMFCI, a CK Birla Group affiliate company, it said.
Hindustan Motors Director Uttam Bose told the daily that work is under way on the new look of the ‘Amby’. “Mechanical and design work for the new engine has reached an advanced stage,” he added.
Peugeot has long wanted to establish a presence in India, and was one of the first international automakers to do so in the mid-1990s, coinciding with the country’s economic liberalization.
Ambassador was a status symbol in India from 1960s till mid-1990s, and it was the lone mass-produced luxury car in the market. However, the renowned vehicle brand’s demise was as dramatic as its ascent. When production was halted in 2013-14, annual sales had declined from over 20,000 units in the mid-1980s to under 2,000 units.
Hindustan Motors’ Chennai plant previously produced Mitsubishi cars, while its Uttarpara site was dedicated to producing the Ambassador. In September 2014, HM’s Uttarpara manufactured the last Ambassador automobile. HM, India’s oldest carmaker, halted production in 2014, claiming massive debt and a lack of demand. In 2017, HM’s owners, the CK Birla Group, sold the car brand to the French automaker Peugeot for Rs 80 crore.