NEW DELHI: Automobile major Skoda Auto India will implement a price hike of up to three per cent across its entire India portfolio, according to a statement released by the firm on Friday.
The price hike, which will range between 2 and 3 per cent depending on model size and segment, will take effect from January 1, 2018. “... changing market conditions and various external economic factors are driving this price impact,” said the statement, while not divulging the exact quantum of hikes for each model.
Part of the Volkswagen Group, the Czech automaker retails four models in India — Skoda Rapid, Octavia, Superb and the recently launched Kodiaq SUV.
Rising price of commodities has already affected the margins of several automakers operating in the Indian market. Market leader Maruti Suzuki, for example, had divulged recently that rising input costs had crimped margins by two per cent compared to the previous year.
However, Skoda is the first automaker to have announced a price hike for the coming year, with other players expected to follow suit.
The past few months have seen GST-related price hikes, too, with car makers revising prices upwards for medium and large cars to factor in the tax hikes implemented by the rollout of the indirect tax regime in July.