Volkswagen considers hiking prices of its products

Arvind Saxena, MD, Volkswagen Group Sales India Pvt Ltd said that rupee depreciation is impacting the margins of the company very heavily and therefore, they will have to increase their prices soon.

September 04, 2013 / 13:53 IST

German car maker Volkswagen today said it is considering increasing the prices of its products to offset impact of rupee depreciation.

Also Read: Volkswagen launches Polo variant priced at Rs 7.75 lakh

"The rupee depreciation is impacting our margins very heavily. We have to increase our prices soon. We are currently working out the quantum of it and we might take a final call around September 10," Volkswagen Group Sales India Pvt Ltd, Manging Director (Volkswagen passenger cars) Arvind Saxena told reporters here.

The industry is in a very tricky situation as the demands are low. Hiking the prices is not a easy decision, he added. Saxena was speaking on the sidelines of the annual convention of Society of Indian Automobile Manufacturers (SIAM).

When asked if the current slowdown could impact the investments by the automobile companies in the sector, Saxena said: "In the current scenario companies will definitely reconsider investment decisions."

first published: Sep 4, 2013 11:27 am

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