Aimed at offsetting raising input costs.
Post the festive season that failed to meet the sales expectations of the auto industry, car makers like Maruti, Hyundai, Honda and BMW are contemplating a price hike to ease some financial pressure, reports ET.
Maruti and Hyundai are expected to be the first to act but there would be a cautious price revision. Only the new and highly popular models would get a price revision while the rest of the lineup may see a marginal hike.
Over the course of the year, carmakers have launched new models at introductory prices which hurts profitability given the high investments involved. Not to mention the discounts during the festive season. Popular new models like Maruti Ciaz and Hyundai Elite i20 are reported to get dearer in a few days time.
Mr. Rakesh Srivastava, senior vice-president for marketing and sales at Hyundai Motor India has stated that the company is currently working out the quantum of price hike. Honda Cars India is yet to make a decision on the price hikes of its models.
[Source: Economic Times]