Maruti Suzuki India, the biggest automaker in the nation, announced on Monday that it will raise car prices starting in January 2024. The company explained the decision to cost pressure to rising commodity costs and the general inflationary climate.
The firm did not, however, indicate the amount of the proposed price raise. The company sells a range of automobiles, priced between ₹ 3.54 lakh and ₹ 28.42 lakh (ex-showroom Delhi), from entry-level small car Alto to multi-utility vehicle Invicto.
Senior Executive Officer (Marketing and Sales) of Maruti Suzuki India (MSI), Shashank Srivastava, stated in a PTI interview that price increases may differ among models and be “substantial” in some cases.
“There is an inflationary pressure all around, including volatility in commodities, so that is the reason we have decided to increase the prices in January,” he said.
The last time MSI raised prices was in April of this year, by 0.8%. It had increased by 2.4% overall during the previous fiscal year.
“There is no choice left for us now but to enhance the prices…we are yet to figure out the exact quantum of the increase,” added Srivastava.
Before this, MSI said in a regulatory filing that it intended to raise the prices of its vehicles in January 2024 due to increasing cost pressure brought on by both rising commodity prices and general inflation.
It went on to say, “The corporation may have to pass on some rise to the market even though it is making every attempt to cut costs and offset the increase. The rise in price will differ for each model.
Due to increased input and operational costs, German luxury automaker Audi announced that it will increase the prices of its cars in India by as much as 2% starting in January of next year.
According to a statement from Audi India, the price increase would apply to all model ranges and take effect on January 1, 2024.
Mercedes-Benz India stated that it is considering raising pricing starting in January when contacted.