Tata Motors, one of the largest auto manufacturers in India, has announced a price hike for its passenger vehicles. The new hike will be applicable for all cars starting May 1, 2023. Defining the quantum of the increase, the company said that the model and variant of the car will determine the price change. However, cars will see an average increase of 0.6 per cent. The company cited rising input costs and regulatory changes as the reasons for the increase in vehicle prices in India.
“Tata Motors is absorbing a significant portion of the increased costs due to regulatory changes and increase in overall input costs and is therefore forced to pass on some proportion of this increase,” the company said in a statement.
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With this effect, the Indian automaker’s vehicles like Tata Nexon, Harrier, Safari, Tiago, Tigor, Punch, and Altroz will get the number on the price tag. The company will announce the new prices of these vehicles next month. The prices of the vehicles will be increased in the range of Rs 3,000 to Rs 15,000 depending on the existing announcement. The upper limit of the hike may be applicable for the top-end variant of the Tata Safari, which costs around Rs 25 lakh (ex-showroom).
Earlier in February, the company had announced a hike in vehicle prices. The increased prices are applicable from April 1, 2023. At that time the company had said that the price hike was due to the implementation of stricter emission norms. Apart from this, the Indian auto maker also upgraded its vehicles to comply with the BS6 Stage II emission norms.
The impact of rising input costs and the implementation of stricter emission norms has been persistent throughout the Indian auto industry. Several manufacturers like Maruti Suzuki, Hyundai, Honda and others have increased the prices of their vehicles.