HomeBusinessMaruti Suzuki, Mercedes Benz, Audi To Hike Vehicle Prices From January 2022:...

Maruti Suzuki, Mercedes Benz, Audi To Hike Vehicle Prices From January 2022: Report

Maruti Suzuki, Mercedes Benz, Audi To Hike Vehicle Prices From January: Report

Audi mentioned its value enhance efficient January 1, 2022 will likely be as much as 3 per cent throughout its mannequin vary

Car market chief Maruti Suzuki India together with luxurious carmakers Mercedes-Benz and Audi on Thursday mentioned they may enhance costs from January to offset rising enter and have enhancement prices. While Maruti mentioned the value rise deliberate for January 2022 will range for various fashions, Mercedes-Benz India mentioned its hike will likely be on choose fashions by as much as up 2 per cent as a consequence of characteristic enhancement and rising enter prices.

On the opposite hand, Audi mentioned its value enhance efficient January 1, 2022 will likely be as much as 3 per cent throughout its whole mannequin vary owing to rising enter and operational prices. “Over the past year, the cost of company’s vehicles continue to be adversely impacted due to increase in various input costs.

Therefore, it has become imperative for the company to pass on some impact of the above additional costs to customers through a price hike,” MSI mentioned in a regulatory submitting. The value rise has been deliberate for January 2022, and the rise shall range for various fashions, it added

In an interplay with PTI, MSI Senior Executive Director (Marketing and Sales) Shashank Srivastava mentioned the corporate has been compelled to take value hikes, with the rise in costs of important commodities like metal, aluminum, copper, plastic and treasured metals over the past one yr.

He famous that the automaker has been below stress since final yr however averted taking massive value hikes as it will have impacted the demand situation available in the market. “As we took a big hit in profitability, and with commodity prices remaining high, we were left with no other choice but to take corrective actions. This year we have taken a price increase of 4.9 per cent in total, which is actually lower than the impact we are witnessing on account of high commodity prices,” he famous.

For the corporate, a value enhance is the final resort, because it doesn’t prefer to burden the shoppers, Srivastava mentioned. “We were thinking that the prices of commodities would soften, but that did not happen. On our end, we reduced our costs, increased efficiencies, but that was not enough, and eventually, we had to take price hike,” he added.

Srivastava mentioned that the corporate is at the moment figuring out the quantum of the hike, which might range from mannequin to mannequin. “Considering the huge increase in commodity prices, the price hike would be substantial,” he famous.

The auto main has already hiked the automobile costs thrice this yr — by 1.4 per cent in January, 1.6 per cent in April and 1.9 per cent in September, taking the whole quantum to 4.9 per cent. The firm sells a variety of fashions, ranging from hatchback Alto to SUV S-Cross, with costs ranging from Rs 3.15 lakh to Rs 12.56 lakh, respectively (ex-showroom, Delhi).

Mercedes-Benz famous that with a purpose to offset the prices for characteristic enhancements amidst rising inputs prices, it would upwardly revise the ex-showroom value of solely choose fashions. The value revision ranging as much as 2 per cent will likely be in impact from January 1, 2022, it added.

Similarly, Audi introduced a value enhance of as much as 3 per cent throughout its whole mannequin vary, efficient from January 1 subsequent yr, owing to an increase in enter and operational prices.

“The Audi India strategy focuses on a sustainable business model. To offset rising input and operational costs, a price correction is necessary.

“The new price range of our select vehicles will ensure the brand’s premium price positioning thereby, assuring sustainable growth both for the brand and our dealer partners,” Audi India Head Balbir Singh Dhillon mentioned in a press release.

Continuing concentrate on buyer centricity, the corporate has ensured that the affect is as minimal as doable, he added. 

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