Possible Price Increases: Maruti, Mahindra, Hyundai, and Tata Considering Car Price Hikes This Year - Comprehensive Details Provided.

Rising Input Costs, Increased Commodity Prices, and Inflation Drive Plans for Price Hike.

BMW, Volkswagen, SKODA, Mercedes-Benz, Volvo, Nissan, and Honda to Implement Price Increases Starting January 2024.

Summary:

• Maruti Suzuki increased vehicle prices by 0.8% in April, marking its last price adjustment.

• Audi is planning a price increase of up to 2%.

• BMW, Volkswagen, SKODA, Mercedes-Benz, and Volvo are considering potential price hikes.

Several car manufacturers, including Maruti Suzuki, Mahindra, and Hyundai, are contemplating raising their vehicle prices this year. The decision is influenced by factors such as increased input costs, a surge in commodity prices, and the impact of inflation. Notably, Maruti Suzuki's last price adjustment occurred in April, with a 0.8% increase. Additionally, Tata Motors has confirmed a forthcoming price hike in January 2024, although the exact percentage has not been disclosed at this time. The automotive industry is responding to economic factors, and these adjustments aim to cope with the challenges posed by rising costs in the production and manufacturing processes.

Audi and Mahindra have joined the list of carmakers planning price increases, set to take effect in January 2024. Audi is looking to implement a price hike of up to 2%, citing heightened input and operational costs as the driving factors. Balbir Singh Dhillon, CEO of Audi India, emphasized the necessity of this correction to uphold the brand's premium status, stating it's a response to increased supply chain-related costs. Similarly, Mahindra is planning to raise prices for its SUVs, although the specific details of the hike are yet to be disclosed. Hyundai and MG Motor are also part of the trend, citing rising input costs, surging commodity prices, and unfavorable exchange rates as reasons for their decision to increase prices.

Starting January 2024, a group of prominent car manufacturers, including BMW, Volkswagen, SKODA, Mercedes-Benz, Volvo, Nissan, and Honda, has disclosed plans for price hikes ranging from 2% to 3%. Notably, the increase is expected to be more pronounced for models featuring advanced features compared to their entry-level counterparts.

Maruti, despite efforts to absorb elevated input costs, is compelled to implement a price adjustment due to additional pressures. Meanwhile, Tata Motors is contemplating price hikes across both their passenger and electric vehicle segments in January 2024. The company spokesperson stated that the extent of the increase and specific details would be unveiled in the coming weeks, emphasizing a strategic response to prevailing economic factors in the automotive industry.