Maruti Suzuki, India's top carmaker, announced Wednesday to hike vehicle prices in April 2022 owing to the rising input costs. This marks the fifth hike in prices in the last 18 months, amounting to over a 10% hike in prices.
In an exchange filing, Maruti said, “Over the past year, the cost of Company's vehicles continue to be adversely impacted due to increase in various input costs. Therefore, it has become imperative for the Company to pass on some impact of the above additional costs to customers through a price hike. We have planned this price rise in April, 2022. The increase shall vary for different models."
Touching upon supply chain issues, Maruti Suzuki's Senior Executive Director Shashank Srivastava told PTI, the semiconductor shortage has led to huge pending orders in the industry. "We alone are sitting on pending bookings of around 2.7 lakh units. Rise in commodity prices also impacts the business. We have taken a price hike of around 8.8% from January 2021 till now."
Maruti Suzuki clocked the highest-ever exports of 2.38 lakh units in FY22.