New Delhi, Sept. 19: Car makers are gearing up to hike prices to offset the impact of rupee depreciation and high input costs.
Hyundai Motor India Ltd and General Motors India have decided to jack up prices following in the footsteps of Toyota Kirloskar Motors, Ford and a few premium car manufacturers.
Hyundai today said it would raise prices by up to Rs 20,000 across models, except the recently launched compact car Grand i10, from October.
“We will increase prices from October 1 by Rs 4,000 to Rs 20,000 across models except our new model Hyundai Grand, which has been recently launched at an aggressive introductory price,” senior vice-president (sales and marketing) Rakesh Srivastava said. The Grand i10 costs between Rs 4.29 lakh and Rs 6.41 lakh (ex-showroom Delhi).
Elaborating the reasons for the hike, he said, “The rupee depreciation and inflationary trends have impacted our input costs. We have been absorbing most of the costs but now we are compelled to consider the price increase.”
The company sells a wide range of vehicles starting from the entry-level compact car Eon to high-end sports utility vehicle Santa Fe. While the Eon is available at a price range of Rs 2.85 lakh to Rs 3.91 lakh, the Santa Fe costs Rs 23.40 lakh to Rs 26.49 lakh. The other popular models include compact car i10 priced at Rs 3.75 lakh to Rs 4.56 lakh and the i20 priced between Rs 4.85 lakh and Rs 7.88 lakh (ex-showroom Delhi).
GM India also plans to raise prices from October. “We will be increasing prices in the range of Rs 2,000 to Rs 10,000 across all our models from October 1. The hike will be on account of increase in input costs, rise in logistics cost because of fuel price hike and the rupee depreciation. The maximum hike of 1.5 per cent will be applicable on the Chevrolet Enjoy, while for other vehicles it will range between 0.5 per cent and 1.5 per cent,” vice-president P. Balendran said.
Toyota Kirloskar Motor had said it would hike prices of its key models by up to Rs 24,000 from September 21 to partly offset the higher cost of raw materials and a fall in the rupee.
Earlier this month, Ford India had raised prices by 1-5 per cent on various models. Mercedes-Benz has hiked prices of its entire range of cars in India by up to 4.5 per cent from September 1.