Hindustan Motors is planning to launch the Outlander at a price below Rs 20 lakh to draw buyers away from the segment leader, the Honda CR-V. Unlike the latter which is imported as a completely built unit, the Outlander will be locally assembled by HM in its Thiruvallur plant.

The Outlander is similar in size and specification to the CR-V, and has a 2.4-litre four-pot petrol motor with MIVEC (Mitsubishi Innovative Valve Timing Electronic Control), Mitsubishi’s version of variable valve timing.

The motor produces 170bhp, but it will probably be detuned for Indian fuel. Transmission options include a six-speed manual and a stepless CVT with six pre-selected ratios which can be controlled via paddles on the steering wheel. The Outlander will have essentially a single trim level which will be fully loaded with a high-end entertainment system. Trial production begins by mid-2008, and the launch soon after.