ambassador car: The iconic car Ambassador likely to make a comeback in a new avatar

The iconic Ambassador is likely to make a comeback in two years in a brand new avatar. Hind Motor Financial Corporation of India (HMFCI) and Peugeot are collaborating on the design and engine of the ‘Amby’ which will be launched in a new incarnation.

The new model of the classic car brand will be manufactured at Hindustan Motors‘ (HM) Chennai facility, which is run by HMFCI, a CK Birla Group affiliate company, Times of India reported.

HM director Uttam Bose told TOI on Wednesday that work is under way to bring out the ‘new look’ 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.

HM’s 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 for Rs 80 crore.

Ambassador was a status symbol in India from the 1960s to the 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.