Maruti Suzuki, M&M, and Audi India to hike prices for Jan 2024

Indian automakers Maruti Suzuki, Mahindra & Mahindra, and Audi India have all declared plans to increase the prices of their passenger vehicles in the coming year. They cite cost pressures due to overall inflation and heightened commodity rates as the primary reasons for this decision.

Following suit, Tata Motors is also contemplating increases for its passenger and electric vehicles in January 2024, although specifics regarding the extent of the hike are yet to be disclosed, as per PTI reports.

Maruti Suzuki India had previously raised vehicle prices by 0.8% in April of the current year. Over the last fiscal year, they had implemented a total price increase of 2.4%.

Shashank Srivastava, senior executive director at Maruti Suzuki, explained, "Steel prices, which constitute around 38% of our commodity purchases, have increased slightly over the past 3-4 months. We've been evaluating the impact of commodity price fluctuations on our costs, attempting to reduce expenses internally before considering price adjustments as a final measure."

Also read/watch - Bytedance's gaming division, Nuverse faces layoffs, 3,000 employees in limbo

Nalinikanth Gollagunta, CEO of the Automotive Division at Mahindra and Mahindra, stated, "We plan to raise prices for our automotive products starting January 2024," without specifying the details at this time.

Tata Motors is also contemplating a price increase across their passenger and electric vehicle lineup in January 2024. A company spokesperson mentioned, "We're assessing a price hike for January 2024 across our passenger and electric vehicle range. Specific details and the extent of the increase will be disclosed in the coming weeks."

Mercedes-Benz India and Audi India are both contemplating price hikes from January. Audi announced a price increase of up to 2% on its vehicles in India from January 1, 2024, citing escalating input and operational expenses.

Balbir Singh Dhillon, Head of Audi India, explained, "Owing to increased supply chain-related input and operational costs, we've adjusted prices across our model range, maintaining our brand's premium pricing strategy. This correction aims for sustainable growth for Audi India and our dealers, striving to minimize the impact on customers."