The Indian automakers Maruti Suzuki, Mahindra & Mahindra, and Audi India have declared that their passenger vehicle prices will increase in the upcoming year due to cost pressure brought on by rising commodity rates and general inflation. In addition, Mercedes-Benz India and Tata Motors are considering raising the pricing of their models starting in January 2024.
The last time Maruti Suzuki India raised car pricing was in April of this year, by 0.8%. It had raised prices overall by 2.4% during the previous fiscal year.
Maruti prepares for 2024 pricing increases
Over the past three to four months, steel prices have somewhat increased, accounting for about 38% of our commodity purchases. Maruti Suzuki senior executive director Shashank Srivastava told Mint, “We have been estimating the impact of the volatility of commodity prices on our costs and trying to cut costs internally and then take price hikes as a last resort.”
Tata Motors said it is considering raising prices in January 2024, following Maruti Suzuki.
Nalinikanth Gollagunta, CEO of Mahindra & Mahindra’s Automotive Division, added, “We intend to take a price increase for our automotive products effective January 2024.”
The CEO of M&M stated that more information will be released closer to the event.
In the meantime, Tata Motors said that starting in January 2024, it will also be raising the prices of its electric and passenger cars.
Maruti Suzuki will start raising automobile pricing in January 2024.
In January 2024, we plan to increase the prices of all of our passenger and electric car models. In a few weeks, the precise terms and magnitude of the increase will be disclosed, according to a company representative.
Mercedes-Benz India has stated that it plans to consider raising prices starting in January.
Due to increased input and operating costs, German luxury automaker Audi announced that it will increase the price of its cars in India by as much as 2% starting in January of next year.
According to a statement from Audi India, the price increase would apply to all model ranges and take effect on January 1, 2024.
“We have effected a price correction across our model range, maintaining the brand’s premium price positioning,” said Audi India Head Balbir Singh Dhillon in a statement. “Due to rising supply chain-related input and operational costs,” Dhillon said.
Furthermore, he stated, “We will ensure that the price hike’s impact is as minimal as possible for customers.” The price correction, according to him, aims to promote sustainable growth for Audi India and our dealer partners.