Volvo India will hike car prices this month post the revision in customs duty. Volvo cars will be expensive by five per cent now.
This price revision is a direct effect of the increased customs duty, which was recently announced at the Union Budget 2018. Customs duty on CBU models has gone up by five per cent, while the basic customs duty on auto parts, accessories and CKD components vary from 5-10 per cent. This is then clubbed with the new social welfare surcharge at 10 per cent as well.
Many automobile manufacturers have decided to increase the prices of many models and now Volvo has also joined this list. The carmaker has not given out the new variant-wise pricing of all the models, which we expect to be announced soon. The increment in customs duty has made the hike in car prices inevitable and will affect more car models in India.