New Delhi, March 15: Cars are expected to become costlier from April with leading carmakers Maruti Udyog, Hyundai Motors and General Motors planning to pass on the increase in excise duty on steel, announced in the budget, to buyers.

The increase would come on the back of higher amounts that customers have to shell out to buy Euro III compliant models in 11 cities and Euro II variants in other cities to meet the cleaner auto fuel emission norms being introduced in the country.

Both Maruti and Hyundai today said they would be passing on the added burden due to higher steel prices. However, the companies did not specify the exact amount by which prices would be raised. The decision is expected to be announced after steel companies come out with their own new prices.

?The hike can be between Rs 2,000 and Rs 3,000,? an analyst said. A spokesman for General Motors said prices of its sedans, the Optra and Corsa, and multi-utility vehicle Tavera would go up.

?While Tavera prices will go up by 2-3 per cent, the Corsa and Optra will be dearer by 1-2 per cent from April this year,? he said, adding this included the hike due to the shift to Euro III versions as well as the steel effect.

Finance minister P. Chidambaram proposed to hike the excise duty on steel by 4 per cent to 16 per cent in the Union budget. Once effective, this would result in prices of steel going up between Rs 1,000 and Rs 1,200 per tonne.