Maruti, Skoda, Tata, Volkswagen will increase prices from January
Published on Dec 24, 2021 7:00:00 AM
The automakers cited rising input and operating costs as the main reason for the price increase.
Maruti Suzuki, Toyota, Skoda and Tata are among several automakers who have announced a price increase for their models from January 2022. Due to exchange rate fluctuations, it is common for car manufacturers to raise prices at the beginning of the calendar year and to increase input and material costs. Not only automobile manufacturers for the mass market, but also luxury brands such as Mercedes and Audi have announced a price increase for their product portfolio. Let’s take a look at all of the manufacturers that will be raising prices starting next month.
Maruti Suzuki was one of the first to announce a price increase from January 2022. The price increase applies to all Maruti Arena and Nexa models, although it will vary from model to model. And while Maruti hasn’t announced the extent of the price increase for each individual model, expect the updated prices to be announced before December 31st first in January, that Second in April and the third in September.
Honda is also expected to increase the price of its models from next month. The car manufacturer is investigating how much of the increasing input and raw material costs can be borne by the company and how much has to be passed on to customers. Expect an official announcement in the coming days. The price hike is expected to affect all Honda models in India.
Renault Also wants to increase the price of its vehicles from January. Like all other automobile manufacturers, Renault also cites rising input and material costs as the reason for the price increase. Renault currently offers four models in India – Kwid, Triber, Kiger and Duster – and significant price increases can be expected for all models.
Own automaker Tata Motors has also announced a price increase for its entire vehicle portfolio with effect from January 2022. This includes both its commercial vehicles and its cars. While Tata has given a price increase of 2.5 percent for its commercial vehicles, there are no precise figures for the car offer. However, it will apply to all of their models – electric and ICE-powered – including the newly launched Tata punch.
Prices from everyone Toyota Vehicles will also become more expensive from January 2022. Toyota has not announced the amount of the price increase either, but it should apply to all models. The extent of the price increase is expected to vary from model to model. In India, Toyota is currently selling the Innova Crysta and the Fortune teller, and developed the badge Urban cruiser and Glanza. This was also motivated by rising input and raw material costs.
Skoda has announced that all of its models will be for sale in India – Kushaq, Octavia and Terrific – will see a price increase of 3 percent from January 2022. The exact price increase for the model and variants will be announced next month. However, Skoda implemented very few price increases on its models in 2021, with the Kushaq, Octavia and Superb only seeing a single price increase each.
Volkswagen has announced a price increase of 2 to 5 percent on the polo, Vento and Taigun, valid from January 1, 2022. The carmaker has not yet announced the amount of the price increase for each individual model. The recently introduced Volkswagen Tiguan facelift however, was not taken into account in the price increase.
Citroen‘s only model for sale in India – the C5 Aircross – will increase the price ex showroom by 3 percent. That will be the second price increase on the C5 Aircross over a period of two months, with the previous one arriving in November of that year where the price of the car increased by as much as Rs 1.30 lakh. The C5 Aircross is currently being sold in India at a price between Rs 31.30 lakh-32.80 lakh (ex showroom, India).
Among the luxury car makers Mercedes Benz has announced a price increase of 2 percent for selected models, although the company has granted price protection for some models. Mercedes has made it clear that customers who have booked their MY2021 models and are waiting for their delivery will receive them at the booked price. In addition, customers who book selected cars, such as A class, GLA, and E-class Price protection is also offered until December 31st.
As for Audi, the automaker will implement a price increase of 3 percent on its entire product portfolio from January 2022. Like all other automobile manufacturers, Audi also cites rising input and operating costs as the reason for the price increase.
How are you reacting to the price increases that many automakers have announced before the new year? Let us know in the comments below.
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