Maruti Suzuki to raise car prices in July-September quarter
This will be the second round of price increase by the Delhi-based company in this financial year. The maker of Swift and Baleno had raised prices by around 1.6 percent in the April-June quarter
June 21, 2021 / 12:05 PM IST
Maruti Suzuki, India’s largest manufacturer of passenger vehicles, will increase car prices in the July-September quarter to offset input price hikes.
“Over the past year, the cost of the company's vehicles continues to be adversely impacted due to increase in various input costs. Hence, it has become imperative for the company to pass on some impact of additional cost to customers through a price rise. The price rise has been planned in quarter 2 and the increase shall vary for different models,” Maruti Suzuki said in a statement.
This will be the second round of price increase by the Delhi-based company in this financial year. The maker of Swift and Baleno had raised prices by around 1.6 percent in the April-June quarter. The price was raised to mitigate the jump in input costs.
Maruti’s rivals like Hyundai may also soon make a decision to pass on the impact of input costs. Auto companies are working towards reducing their fixed and variable costs as part of the continuous cost reduction programs to avoid passing on the full impact of the cost pressures.
The price increase also comes at a time when lockdown restrictions across the country have been relaxed significantly. At least 80 percent of all automotive showrooms are now open. States of the south including Tamil Nadu, Karnataka and Kerala are yet to relax the restrictions.