Honda hikes car prices by Rs5,000

NEW DELHI: With the central sales tax holiday enjoyed by it in Uttar Pradesh coming to an end, Honda Siel Car India has hiked the price across different models by Upton Rs5,000.

Post the price hike, the company's popular mid-sized sedan 'City' will be costlier by Rs2,000 while the other model 'Civic' will be dearer by Rs3,000.

The company's premium luxury car 'Accord' will see the highest hike of Rs5,000, a company official said.

The company had been given a 4 per cent central sales tax exemption since its inception linked to its investment at its plant at Greater Noida.

The company has absorbed most of the increase in the prices of vehicles, following the expiry of the tax holiday.