Tags: Fiat, Grande Punto, India, Linea, Palio, Small Car, Tata Motors

Fiat and Tata said to be working on a new small car

Tata Motors is already selling Fiat cars in the Indian market. Tata Indica is currently scheduled to get the same Fiat engine that currently powers the Suzuki Swift in the Market.

And now the latest report in the market is that Fiat and Tata are together planning to launch a brand new small car model in the Indian market.

This car could become the possible replacement model for Palio which has not seen much sales in India. It could be launched in India as soon as 2010.

The two companies are also already working on bringing more Fiat models on the Indian roads including Grande Punto and Linea.