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Tata Motors, Honda, Renault to hike vehicle price from 2022

Tata Motors, Honda, Renault to hike vehicle price from 2022
Tata Motors, Honda, Renault to hike vehicle price from 2022

To mitigate the impact of rising input costs, carmakers such as Tata Motors, Honda, as well as Renault have indicated plans to raise prices of their vehicle models starting January next year.

Maruti Suzuki as well as premium automakers like Mercedes-Benz and Audi, have already confirmed price hikes in the coming months.

Maruti signaled that the price increase for January 2022 might differ based on vehicle model. Meanwhile, Mercedes-Benz claimed the increase will be around 2% on some models owning to feature enhancements and increasing input costs.

Similarly, Audi announced a price hike of at least 3% over its whole model range beginning January 1st, 2022, due to growing input as well as operational expenses.

When confronted about the matter, Shailesh Chandra, President of Tata Motors Passenger Vehicles Business, stated that raw material, commodity, as well as other input expenses are all continuing to surge. In short term, an adequate price rise to partially counterbalance this surge in costs appears to be unavoidable.

In the domestic market, the Tata Motors sells models such the Nexon, Punch, and Harrier.

Honda Cars India has also hinted about a price rise soon. The carmaker states that the rise in commodity prices has had a significant influence on input costs. Honda is still figuring out how much can be taken in.

Renault indicated that starting in January, it will implement a significant price rise across its whole vehicle line. In India, the French carmaker sells models such as the Triber, Kwid, and Kiger.

With significant price increases in essential commodities such as aluminum, steel, plastic, copper, as well as valuable metals over the last year, businesses have been compelled to raise prices.

Furthermore, shipping costs have risen in recent years, hurting original equipment manufacturers' (OEMs) total cost structures.

Source credit: https://economictimes.indiatimes.com/industry/auto/auto-news/tata-motors-honda-mulling-price-hike-from-next-month/articleshow/88103151.cms

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Sunil Jha

Sunil Jha has been a part of the content industry for close to two years. Having previously worked as a voice over artist and sportswriter, he now focuses on writing articles for newsorigins.com, across a slew of topics, ranging from technology to trade and finance. With a business-oriented educational background, Sunil brings forth the expertise of deep-dive research and a strategic approach in his write ups.