Bad news if you are looking to get a Tata Motors product. The carmaker has announced its decision to hike the prices of its passenger vehicles. The reasons mentioned about the company are its rising input costs and regulatory changes. This has made car production get more expensive. This is the second time in 2023 that the Indian automaker has hiked the prices of its range of products.
2nd Price Increase In 2023 For Tata Motors
The Indian automaker also mentioned that the weighted average increase in prices for its range of vehicles is 0.6 per cent. The exact price hike will vary depending on the model and variant. This new price hike is all set to take effect from May 1st, as per Tata Motor’s recent press release. Thus making it the second time in 2023 that Tata Motors has increased its prices. The earlier increase in prices was 1.2 per cent in January. This was also due to rising input costs and regulatory changes.
Bharat Stage VI Norms Make Vehicles Costly
Furthermore, the implementation of Bharat Stage VI norms has too led to a hike in the cost of vehicles across segments in India. The Central government has mandated all the automakers to equip their vehicles with a special device. This will help to monitor emissions thus resulting in additional expenses. As a result, all car manufacturers such as Tata Motors have been forced to raise the prices of their range of vehicles.
Increase In Demand For SUVs In India
As it stands, India recorded the highest-ever passenger vehicle sales in the fiscal year that ended on March 31st, 2023. This has happened even with multiple price increases throughout the year. The surge in sales was largely visible in the larger and more expensive sports utility vehicles (SUVs) segment. Tata Motors Nexon and Punch SUVs are currently the most favourite ones. They were among the top-selling cars in India in 2022, contributing significantly to Tata Motors’ sales figures.
Also Read: 2023 Tata Nexon will get sequential turn indicators, spotted testing.
