Maruti Suzuki has announced a price hike of up to Rs. 34,000 on its vehicles, effective 18th January 2021 onwards
Maruti Suzuki India Ltd (MSIL), India’s largest carmaker, has announced a price hike for its vehicles; Maruti cars have now become more expensive by up to Rs. 34,000 (ex-showroom, New Delhi) in the Indian market, depending on the model. This price hike, effective post 18th January 2021, is the biggest single price hike announced by the company yet.
Maruti Suzuki has now joined the likes of Hyundai, Kia, Mahindra & Mahindra, etc., with this price hike. Increasing prices upon the start of a new calendar year is quite a common practice in the automobile industry, and the cause for that is usually increased input costs. However, this price increase comes at a very sensitive time.
Although the automobile industry of India has recovered impressively post-lockdown, carmakers still need to be a little careful. In 2020, Maruti Suzuki sales stood at 12,13,660 units overall, which is an 18 per cent decline over the manufacturer’s 2019 sales figure (14,85,943 units). That said, Maruti reported an increase in sales during December 2020, registering a 20.2 per cent year-on-year growth.
|Maruti Suzuki Price Hike – January 2021|
|Model||Change in Price (ex-showroom)|
|Maruti Alto 800||Up to Rs. 14,000|
|Maruti S-Presso||Up to Rs. 7,000|
|Maruti Celerio||Up to Rs. 19,400|
|Maruti Wagon-R||Up to Rs. 23,200|
|Maruti Tour S||Up to Rs. 5,061|
|Maruti Eeco||Up to Rs. 24,200|
|Maruti Swift||Up to Rs. 30,000|
|Maruti Dzire||Up to Rs. 12,500|
|Maruti Vitara Brezza||Up to Rs. 10,000|
|Maruti Ertiga||Up to Rs. 34,000|
|Maruti Super Carry||Up to Rs. 10,000|
In a regulatory filing, the Maruti Suzuki stated: “Over the past year, 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 in January 2021.“
The biggest price increase has been observed on Maruti Ertiga (up to Rs. 34,000) and Swift (up to Rs. 30,000). On the Vitara Brezza, which already has a high starting price compared to other sub-4-metre SUVs in our market, the price hike is up to Rs. 10,000.
The company’s entry-level models, Alto and S-Presso, have become more expensive by up to Rs. 14,000 and Rs. 7,000, respectively, which is quite substantial. Even Maruti Suzuki’s commercial models have seen a price increment; the Super Carry is more expensive by up to Rs. 10,000, and the Tour S by up to Rs. 5,061.