Maruti Suzuki India today said it will increase its car prices soon, to balance the rising input costs and impact of strengthening yen. The company said that it was working on the time and quantity of price hike of its vehicles.
“In the past few months the input costs have increased significantly. We have been absorbing so far through internal efficiency measure but now we have to pass it on to the consumers,” Maruti Suzuki India Managing Executive Officer (Marketing and Sales) Mayank Pareek said.
When asked by how much and when the prices would be increased, he said: “We are currently working out on it but it is certain that we have to raise prices.” He also mentioned that the company had to make a decision as input costs have reported a steep increase in the recent past.
“The price of natural rubber, which used to be Rs 100 per kg has gone up to Rs 200 per kg. Copper price has increased by 12-15 per cent and steel has also seen a similar increase,” Pareek said.
Moreover, as the Japanese currency continues to gain against the dollar, the equation between the two is getting adverse. There seem to be no softening of these factors, he added.