You have just up to December 31 to buy a car at current prices. Prices are slated to rise come next year.
Two leading carmakers, including leader Maruti Suzuki with a 41% market share, announced a 1-3% price hike effective January on Thursday.
Other carmakers, including Toyota Kirloskar and Honda Cars, are expected to follow suit. The hikes by Maruti and General Motors India (GM) on Thursday come in spite of industry-wide slow sales.
Maruti said it will increase prices of all of its vehicles by up to Rs20,000. The company’s margins have been pressure due to high currency fluctuations.
“The quantum (of price hikes) will vary depending on models,” Mayank Pareek, Maruti’s COO (marketing & sales), told PTI.
Similarly, GM will increase prices by 1-3% and Toyota Kirloskar Motor by 2% across all models from January onwards.
Honda Cars India, too, is considering price hikes. “We are working on the quantum of hikes. Currency fluctuation is our primary concern,” said Jnaneswar Sen, senior vice-president, Honda Cars India. Ditto for Hyundai India, the No.2 in India’s car market. Car prices were last raised in September-October to reflect diesel price hikes.
“Demand might be affected if the prices go up but a lot depends on the market sentiment at that point in time,” said Sen.