Maruti Suzuki India, the country's largest car manufacturer, will be increasing car prices from January 1, 2020. In the company's BSE filing, Maruti Suzuki has said that the increase in various input costs has adversely affected the cost of its vehicle. Therefore, the company has decided to pass on some impact of the additional cost to its customers through a price increase across various models. The price hike will happen across the company's model range and the amount will vary for different models, however, it's yet to decide on the quantum of the price hike.
The statement issued by the company says, "The cost of Company's vehicles has been impacted adversely due to increase in various input costs. Hence, it has become imperative for the Company to pass on some impact of the above additional cost to customers through a price increase across various models in January 2020. This price increase shall vary for different models."
Earlier, Maruti Suzuki India had reported a similar price hike on select models early this year in January 2019. Back then, the company had attributed the price hike to the impact of rising commodity prices and foreign exchange rates. The cyclical price revision happens at the start of every year and has become a norm in the auto industry.
As of now, Maruti Suzuki India's vehicle line-up starts from the entry-level Alto 800, which is priced between Rs 2.88 lakh to Rs 4.09 lakh, while the company flagship model, the XL6 is priced at Rs 9.79 lakh to Rs 11.46 lakh (all prices ex-showroom, Delhi). About 70 per cent of the company's line-up is already BS6 compliant, while the company is working on the remaining models. In fact, the company has already sold over 3 lakh BS6 compliant cars in India. Maruti Suzuki has announced that it will phase out its smaller, 1.3-litre, diesel engine ahead of the BS6 deadline however the company might continue offering its new 1.5-litre diesel engine even after April 1, 2020.