Tata Motors to hike commercial vehicle prices by 3%

Indian automobile maker Tata Motors is set to hike the commercial vehicle prices by 3% which will be implemented from October 1.

The company in an exchange filing has said that the price increase is to offset the impact of the past input costs.

“The price increase is to offset the residual impact of the past input costs, and will be applicable across the entire range of commercial vehicles,” the company informed the stock exchange in a filing.

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Earlier, the company had increased prices of commercial vehicles by up to 5% from April 1 this year. This comes even as Fitch ratings has said that India's commercial vehicle sales volume will slow down to low-to-mid-single digits due to rising ownership costs.

India has also implemented stricter norms through phase II of Bharat Stage 6 from April 1, including testing real-time driving emissions, leading to increased costs for automakers.