Till recently Tata Nano was considered to be the most economic car targeted at India's middle and lower middle class. But the announcement of Bajaj RE60 in recent Auto Expo 2012, has made people believe that competitor to Tata Nano has arrived. However, there are few basic differences between the two vehicles which are very important to be considered before one makes the decision:
1)Difference in target segments : Tata Nano was originally launched in 4-wheeled small car segment and was meant to be a small family vehicle and Bajaj RE60 was launched to compete in 3-wheeled auto-rickshaw segment but as a more comfortable 4-wheeled option.
2)Fuel consumption: If fuel consumption claims are anything to go by, then Bajaj R60 is more fuel efficient at 35 kmpl whereas Tata Nano gives about 20-25 kmpl under normal conditions. But then, R60 is yet to hit road to get hands on experience!
3)Engine capacity: Tata Nano boasts of much higher engine capacity at 624cc whereas Bajaj RE60 has a modest 200cc.
Enough of statistical stuff though, I will put forth few parameters which are very subjective to one's use. They are:
1.Region of usage: Bajaj RE60 is meant for only city travel as claimed by manufacturers themselves, Tata Nano is also a city based car but can fare better than RE60 in case of inter-city or highway travel.
2.Comfort and Safety: Though its too much to ask for much in these category of vehicles, Tata Nano LX versions sport an AC and power windows whereas the Bajaj RE60 model presented at the moment lacks both of these facilities. On safety front, both these vehicles can be seen in same light.
3.Price: Current version of Bajaj RE60 is certainly less priced than most of the Tata Nano versions but that more or less undermines the fact that R60 is there to replace the traditional auto-rickshaws.
So, I think I have elaborated quite a few details on these two entry segment cars, which I am hopeful, will be useful for you.