Tata Motors to hike prices by Rs 25,000 from January 2018

Tata Motors has announced today that their entire passenger vehicle range will be pricier by Rs 25,000 from January 2018. The Mumbai-based carmaker has quoted that the increase in price is due to the rising input costs.

Mayank Pareek, President, passenger vehicle business of Tata Motors, commenting on the price hike, said “The changing market conditions, rising input costs and various external economic factors have compelled us to consider the price increase. We are optimistic on maintaining our growth trajectory in the coming year on the back of our robust product portfolio like Tiago, Hexa, Tigor and the recently launched Nexon.”

Tata Motors joins the list of manufacturers who announced the increase in prices come 2018. Skoda announced a price increase of 2 – 3 per cent depending on the model and variant. Honda cars will be dearer by 1-2 per cent across its product line-up. Even Isuzu pick-up and SUVs will be expensive by Rs 15,000 to Rs 1 lakh on the ex-showroom price tag.

It is a common practice by the manufacturers to increase the prices of their product at the turn of the calendar year. This is usually done to compensate for the poor sale at the end of the calendar year. The end of the financial year within the next few months also tends to affect the manufacturers to change the prices of their portfolio.