New Delhi: Indian automotive company Mahindra & Mahindra Ltd has hiked the price of its vehicles by 2.5%, the company informed the exchanges on Thursday.
The price hike will be effective from April 14, 2022, the company said.
This will result in an increase of ₹10,000 to Rs. 63,000 on the ex-showroom prices across the range, depending upon the model and the variant.
“The price revision is result of continuous increase in prices of key commodities such as steel, aluminium, palladium, etc,” M&M said in a filing.
On Thursday, Mahindra shares closed 0.49% higher at ₹865 apiece on NSE.
“The company has taken necessary initiatives to partially offset the unprecedented hike in commodity prices to absorb the impact, passing a minimal percentage of cost increase to customers through a price revision,” the company said.
Earlier in April, the country’s largest carmaker Maruti Suzuki India (MSI) had said that it would increase the prices of its entire model range this month due to a rise in input costs.
Maruti Suzuki India announced that over the past year, the cost of its vehicles continues to be adversely impacted due to an increase in various input costs. “Therefore, it has become imperative for the company to pass on some impact of the above additional costs to customers through a price hike,” the company said in a regulatory filing.
MSI has already hiked vehicle prices by around 8.8 per cent from January 2021 to March 2022 owing to constant increase in input costs. Maruti has planned a price rise in April 2022 and the increase shall vary for different models. The company is yet to disclose the quantum of the proposed price hike.