Government has asked the carmakers to cut down the price hike announced on their top models over the last couple of months. The government had reduced the excise duty on all models by 4% in December 2008 and now has advised the car manufacturers that it won’t entertain the price hike.
Since the reduction in duty, Hyundai, Maruti Suzuki, Toyota and General Motors have increased the prices of their popular models in the range of Rs 2,500 to Rs 50,000.
The government wants the manufacturers to reduce their pricing as the duty cut was announced as sales of automotives was drying.
