By Drew Johnson
Monday, Feb 11th, 2008 @ 12:06 pm

Although Indian automaker Tata Motors has no plans to sell its $2,500 Nano in the U.S., its cross-town rival — Mahindra & Mahindra — will soon begin selling a pickup truck in the U.S. market. Dubbed the Appalachian, the small truck is slated to bow in mid-2009.
Though the U.S. pickup truck market is in a decline, Mahindra is banking on the Appalachian’s diesel-power to give the truck an advantage in the marketplace. The Appalachian will use a version of Mahindra’s mHawk 2.2L four-cylinder diesel — rated at about 150 horsepower and 300 lb-ft of torque. The powerplant will allow the Appalachian to have a max payload capacity of 2,600 pounds — significantly higher than the Toyota Tacoma ’s rating of 1,685 and the Dodge Dakota’s 1,720 pound limit.

According to PickupTruck.com, the Appalachian will also use a six-speed automatic transmission — featuring steering wheel-mounted paddle shifters — allowing the truck to achieve 30 to 35 mpg. Moreover, Mahindra will offer a diesel-hybrid version of the truck in 2010, which should boost the trucks mileage into the 40s.

And, unlike other offerings from developing regions, the Appalachian should have an interior up to U.S. consumer standards: the Indian automaker developed the truck’s interior with the Lear Corporation of Michigan. As John Perez, CEO of Global Vehicles U.S.A. (the company leading the effort to import Mahindra vehicles), put it — “This is not Chinese junk.”

The the truck’s part will be produced in India, the Appalachian will be assembled in Ohio to avoid a 25% import tax. Mahindra has not disclosed the plant’s location in Ohio.

According to Perez, the Appalachian will sticker for about $22,000 — including a 60,000 mile, four year bumper-to-bumper warranty — with the hybrid version adding less than $10,000 to the price tag. The Appalachian has yet to complete U.S. crash and emissions tests, but Mahindra has invested $80 million into passing the tests.

300 dealers have reportedly signed up to be Mahindra dealers, with 24 stand-alone stores planned. The first is already under construction.

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