Maruti Suzuki to increase prices of vehicles from April, cites rise in input costs

Maruti Suzuki India on Monday (March 22) said that it will raise prices for its vehicles in April, its second increase in 2021. The automaker said the price rise is due to a rise in various input costs

India's auto sector was already seeing weak demand and higher costs when the COVID-19 pandemic dealt a blow last March.

Although carmakers have witnessed a return of demand, they have warned about uncertainties ahead. Several carmakers have increased prices this year to keep up with rising costs.

In January, Maruti had cited a rise in input costs and said it will hike the price up to 34,000 rupees ($469.85) on some car models.

On Monday, Maruti said the price hikes will come into effect in April, adding that the increase shall vary for different models without specifying by how much it planned to raise prices.

"Over the past year the cost of company's vehicles has been impacted adversely due to increase in various input costs," the company said in an exchange filing.

"Hence, it has become imperative for the company to pass on some impact of the above additional cost to customers through a price increase," it said.

In January, rival Mahindra and Mahindra increased prices of its personal and commercial vehicles by 1.9%, while Tata Motors raised prices for its passenger vehicles by up to 26,000 rupees.

(With inputs from agencies)