Maruti Suzuki (MSIL) announced on Thursday that it is increasing prices of its models across its portfolio by up to Rs 30,000 from June 2026. For the past few months, the carmaker said that it has been making continuous efforts to mitigate the cost impact to the extent possible through cost reduction measures.
“However, with inflationary pressures now at elevated levels and the adverse cost environment persisting, the Company has to pass on a portion of the increased costs to the market, while continuing to ensure that the impact on customers is kept to the minimum extent possible,” said MSIL in a statement. The exact quantum of change will vary from model to model.
With this, the country’s largest carmaker joins other players that went for a price hike recently due to inflationary pressure. For many automakers, this is their first revision following the GST rate reduction of up to 10% in late September 2025.
The price hike is a setback for car buyers as it comes at a time when retail fuel prices have seen a sharp surge. Government-owned oil marketing companies (OMCs) hiked the price of petrol and diesel on Tuesday (May 19) by about 90 paise per litre across the country.
This was the second increase in five days following the Rs 3 upward revision last Friday (May 15) after four years.
A sharp rise in petrol and diesel prices is likely to dampen the auto industry’s growth rate, which has accelerated since the GST Council revised GST rates in late September 2025. With the possibility of more hikes in the near future as tension remains high in West Asia, experts believe this may force buyers to postpone large-ticket purchases and even trigger demand recalibration in the near term.
Earlier, Hyundai increased the prices of its models by up to 1% from May 2026. The Korean carmakers stated that the escalating input costs have necessitated passing on “a part of this impact through a marginal price revision”.
According to industry sources, prices of essential commodities such as steel, plastic and other metals surged sharply since early March. Steel, non-ferrous metals and plastic prices have surged between 10-30% in the last one year.
Mahindra & Mahindra went for a steeper hike of up to 2.5% for its internal combustion engine (ICE) SUV and commercial vehicle (CV) range, with an average hike of 1.6% across the portfolio. This price increase came into effect from 6 April 2026.
Tata Motors Passenger Vehicles (TMPV) had increased the prices of its cars from April 1, 2026. The weighted average increase across its ICE portfolio is around 0.5%, with actual hikes varying by model and variant.