Maruti Suzuki India Limited (MSIL), one of the largest carmakers in India, has announced a price hike for a few selected vehicles that will come into effect from January 18. Other automobile companies such as Hyundai and Kia have also hiked their car prices, including Mahindra and Mahindra Ltd, which hiked their price for personal and commercial vehicles by 1.9 percent.
“The Company is increasing the price for select models owing to an increase in various input costs. The price change varies across models and ranges up to Rs. 34,000 (Ex-Showroom – Delhi),” said the automaker in a regulatory filing as per the reports from the Mint.
The main reason for the price hike is because of the rise in the input costs that include a sharp hike in raw materials and steel costs as stated by the automobile company.
According to industry sources, Maruti Suzuki has raised the prices of a few models. The price of Maruti S-Presso has been hiked up to INR 7000, Celerio up to INR 19,400, Wagon-R up to INR 23,200, Alto up to INR 14,000, Maruti Swift up to INR 30,000, Maruti Dzire up to INR 12,500, Maruti Vitara Brezza up to INR 10,000, Ertiga MPV up to INR 34,000, Eeco up to INR 24,200, Maruti Tour S up to INR 5,061 and Maruti Super Carry up to INR 10,000.
In December 2020, the total production of Maruti Suzuki had increased 33.78 percent to 1,55,127 units as was told by the company itself. Maruti Suzuki also reported a 20 percent increase in its overall sales during December 2020 on a year-on-year basis.
Meanwhile, on January 15, Maruti Suzuki launched an online financing platform called ‘Smart Finance’ across more than 30 cities of Maruti Suzuki ARENA customers. The launch of Smart Finance will digitize 24 out of 26 steps in the process of the customer vehicle purchase.
“Maruti Suzuki is India’s first OEM (Original equipment manufacturer) to offer an online end-to-end real-time car finance service facility. We are overwhelmed with the response to our Smart Finance platform from our NEXA customers. Now, we want to extend the ease of a car buying journey for our ARENA customers as well. The pandemic situation in the country has further increased the usage of digital platforms. With Smart Finance, we aim to reach out to a larger audience, assist them and make every stage of the loan process transparent”, said Shashank Srivastava, executive director (Marketing & Sales), Maruti Suzuki India about the initiative.