Maruti Suzuki, the country’s largest carmaker, said that price hikes will vary across different models and variants. “Over the past year, the cost of the company’s vehicles has been impacted adversely due to increase in various input costs. Hence, it has become imperative for the company to pass on some impact of the additional cost to customers through a price increase in April,” Maruti said.
Other manufacturers have also said that prices are being reviewed, and may be announced soon.
Apart from direct input costs, companies have also been burdened with a rise in fuel and freight costs. With diesel retail prices standing at record highs, companies have seen transportation and other infrastructure costs go up, which is also being factored in their retail prices.
Two-wheeler major Hero MotoCorp is also increasing prices. “Hero MotoCorp will make an upward revision in the ex-showroom prices of its motorcycles and scooters with effect from April. The price hike has been necessitated to partially offset the impact of increased commodity costs. The company has accelerated its cost savings programme to ensure minimal impact on the customer,” the company said.
Royal Enfield, which introduced new variants of the Interceptor 650 and Continental GT 650, did so with a 2% price hike.
Nissan, which has got a strong response to its new SUV Magnite, will also be increasing prices. This will be for both Nissan and Datsun ranges. “There has been continuous escalation in auto component prices, and we have tried to absorb this escalation over the last few months. We are now constrained to increase prices… (and) the increase varies from variant to variant,” Nissan India MD Rakesh Srivastava said.