Tata Motors, a prominent automaker, stated on Saturday that the pricing of its passenger vehicles would increase as of today, November 7.
Depending on the version and model chosen, pricing of the company’s vehicles will typically increase by 0.9%. Due to growing input costs, the manufacturer must bear a sizable portion of the expenditures associated with the shift.
The Tiago, Punch, Nexon, Harrier, and Safari are just a few of the passenger vehicles the company offers for sale around the country.
Tata is not the only automaker boosting prices; in India, Skoda of the Czech Republic, Toyota of Japan, and Kia, a significant company from South Korea, have all lately done the same. Given the ongoing increase in input costs, more are anticipated to follow suit.
Prices for several models, including the Skoda Kushaq, Kia Carens, and Toyota Fortuner, have increased.
In October 2022, Tata sold 78,335 Safari SUVs in domestic and foreign markets, a 5.11% decrease over the same month in the previous year.
With 76,537 units sold domestically in December, Tata Motors saw a 17% rise over the same time in 2021. (65,151 units).
According to a top company official, Tata Motors would likely raise prices across the board starting next week in an effort to offset the sharp increase in the cost of obtaining necessary commodities like steel and precious metals. The Mumbai-based automaker offers a variety of passenger cars for sale in the local market, including the Tata Tiago, Tata Tigor, Tata Nexon, Tata Nexon EV, Tata Harrier, and Tata Safari.
The price of steel and precious metals has significantly increased during the last 12 months. The increase in commodity prices has had a financial impact on our business equal to 8 to 8.5 percent of our revenues over the previous year Shailesh Chandra, president of Tata Motors’ Passenger Vehicles Business Unit (PVBU), said to PTI.
He continued by saying that the business is now working out the specifics of the hike for each model and trim.
Over the past year, the cost of precious metals such as rhodium and palladium has increased dramatically. The cost of steel has also remained high over this time.
Maruti Suzuki India, the biggest automaker in the nation, increased the price of the Swift hatchback and CNG versions of other models by up to Rs 15,000 earlier this month to offset rising input costs.
In a similar vein, Honda has also said that starting in August, prices across the board will rise in India as a way to counteract rising commodity prices.