TATA's new Air compressed car

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In 2007, Mumbai, India-based Tata Motors signed a licensing deal with Motor Development International, a French design firm. The idea was to build a car that could run on compressed air.
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Now Tata says it has tested two cars with the engines. The next step is setting up the manufacturing plants to actually build them.
A press release of TATA says "The first phase of this programme-proof the technical concept in Tata Motors vehicles-has now been successfully completed with compressed air engine concept having been demonstrated in two Tata Motors vehicles.In the second phase of technology and required technical processes to industrilize a market ready prouct application over the coming years"

Honda had announced an air powered concept car.
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    TATA's new Air compressed car