Cars to become costlier from June

Tribune News Service

New Delhi, May 22

Car prices are set to increase in June as major carmakers have “decided” to pass on higher input costs to customers.

Sources said Maruti Suzuki India Ltd and Hyundai Motors India Ltd are likely to increase vehicle prices by almost 2 per cent from the next month. Others may follow suit. Maruti has sent an e-mail to its dealers, informing about a price increase across models in June.

Rakesh Srivastava, Hyundai Motors, Director (sales & marketing), said, “We have been absorbing the hike in input costs with an increase in commodity prices, a freight increase with a hike in fuel prices and also the increase in custom duties of certain components. We are now constrained to pass the same to customers in our products with increase up to 2 per cent from June.” The increased prices will be applicable for all Hyundai models, except Creta 2018.

The auto companies have also attributed the proposed hike to depreciation of the rupee and an increase in freight costs.