Price increase averages 1.9 percent across select models; carmaker cites rising raw material prices and input costs.
06 Sep 2021 | 11765 Views | By Mayank Dhingra
Maruti Suzuki India has executed a 1.9 percent weighted average price hike on select vehicle models on sale in India, beginning today (September 6).The price increments vary from Rs 1,000 to Rs 22,500 on the ex-showroom price of vehicles, depending upon the model.
Autocar Professionalhas learnt that the ...
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Maruti Suzuki India has executed a 1.9 percent weighted average price hike on select vehicle models on sale in India, beginning today (September 6).The price increments vary from Rs 1,000 to Rs 22,500 on the ex-showroom price of vehicles, depending upon the model.
Autocar Professional has learnt that the entry-level Alto 800 has seen an uptick of up to Rs 16,100 in the ex-showroom price, depending upon its various trim levels. Similarly, the popular Wagon R and Swift, have received a hike of up to Rs 12,500 and Rs 13,000, respectively.
The pack of UVs – Vitara Brezza (up to Rs 10,000), Ertiga (Rs 20,000) and XL6 (up to Rs 12,300) –have also received a notable price hike as well.
Maruti’s Nexa range, primarily driven by the Baleno (up to Rs 15,200), Ignis (up to Rs 14,680), Ciaz (up to Rs 20,500), XL6 (up to Rs 12,311) and S-Cross (up to Rs 20,500) have also registered an upward revision of their ex-showroom prices.
According to a regulatory filing, MSIL has cited rising input costs, including escalating raw material prices, as the key reason behind the soaring prices. Incidentally, while this is the company’s third official price hike, it is technically the fourth as it had earlier hiked prices of the Swift by Rs 15,000 in July.
Maruti had also raised prices of its entire CNG range in July by Rs 10,000 and has further raised prices of the CNG-only Tour S notably by Rs 20,300.
In a recent interview, Sunjay Kapur, president, ACMA, said, “There are strong headwinds with regard to the supply chain, including the chip shortage, raw material price increases, uncertainty around logistics in terms of non-availability of containers, and shipping rates going through the roof. These are the key challenges and as an industry, we need to overcome them.”
RC Bhargava, chairman, MSIL, has also shared a contrarian view and said, “There has been a slowdown in the Indian automotive industry over the last decade. While there are several reasons, the key is that the cost of acquiring a car by an ordinary citizen has gone up substantially. A lot of material is still imported and the depreciation of the rupee has led to an increase in manufacturing costs.”