M&M to increase SUV, commercial vehicle prices up to 3% from April
In a move that is likely to impact the automotive sector, Mahindra & Mahindra, one of the leading SUV and commercial vehicle manufacturers in India, has announced a price increase of up to 3% for its SUV and commercial vehicle range from April. The company stated that the price hike is a response to the rising costs due to inflation and increased commodity prices.
This news comes amidst a backdrop of increasing operational costs for the auto industry, which has been feeling the pinch of rising raw material costs, higher transportation expenses, and other inflationary pressures. The company’s decision to hike prices is seen as a necessary step to maintain its profitability and sustain its business operations.
According to the company’s statement, the price increase will be effective from April 1st, and it will vary across different models and segments. The exact quantum of the price hike will depend on the specific model and variant, but it is expected to range from 1% to 3%.
The price hike is likely to impact the company’s SUV and commercial vehicle sales, which have been a significant contributor to its revenue. Mahindra & Mahindra has a strong presence in the Indian market, with a wide range of SUVs and commercial vehicles that are popular among both individual customers and fleet operators.
The company’s decision to hike prices has been triggered by a combination of factors, including the rising cost of raw materials, increased transportation expenses, and other inflationary pressures. The Indian auto industry has been facing a severe shortage of semiconductors and other components, which has led to production disruptions and increased costs.
In addition to Mahindra & Mahindra, other automakers are also expected to hike prices in the coming months. Hyundai Motor, for instance, has also announced plans to raise prices next month due to high operational costs. The company’s decision to hike prices is seen as a response to the increasing cost of raw materials, higher transportation expenses, and other inflationary pressures.
The price hike is likely to have a significant impact on the Indian auto industry, which has been facing a slowdown in recent months. The industry has been struggling with declining demand, production disruptions, and other challenges, which have led to a decline in sales and revenue.
The Indian government has been taking steps to stimulate the auto industry, including reducing the Goods and Services Tax (GST) rates on certain vehicles. The government has also been working to improve the overall business environment and reduce the cost of doing business in the country.
In conclusion, Mahindra & Mahindra’s decision to hike prices for its SUV and commercial vehicle range is a response to the rising costs due to inflation and increased commodity prices. The company’s move is likely to impact the Indian auto industry, which has been facing a slowdown in recent months. Other automakers are also expected to hike prices in the coming months, and the industry is likely to face significant challenges in the coming quarters.
