Maruti to raise vehicle prices in January due to increased cost pressure

Maruti Suzuki India (MSIL), the country’s leading auto manufacturer, is considering a price increase on the back of increased input cost pressure and the general inflationary trend.

“The Company has planned to increase the prices of its cars in January 2024 on account of increased cost pressure driven by overall inflation and increased commodity prices. While the company makes maximum efforts to reduce costs and offset the increase, it may have to pass on some of the increase to the market. This price increase shall vary across models,” said the company in an exchange filing on Monday, November 27.

This is an advance intimation of the likely increase in vehicle prices that the company will implement in January 2024. Last, the car manufacturer hiked price of its passenger vehicle by 0.8 per cent across models from April 1, 2023.

In its board meeting, last week, the company agreed to issue over 1.23 crore shares to its parent company Suzuki Motor Corporation (SMC) on a preferential basis for the acquisition of 100 per cent stake in Suzuki Motor Gujarat. The company’s board has approved allotment of 1,23,22,514 shares to SMC having face value of Rs 5 each at a price of Rs 10,420.85 per share, the filing by the company informed.