NEW DELHI: Tata Motors on Friday announced that effective May 8, it will increase prices of its passenger vehicles, averaging 1.8 per cent, depending on the variant and model.
At present, Tata Motors sells a range of vehicles starting from entry hatchback Tiago to newly introduced Safari SUV, priced between Rs 4.85 to Rs 21.4 lakh (ex-showroom Delhi). A near two per cent hike will make the newly launched Safari expensive by around Rs 40,000.
Meanwhile, customers who have booked the carmaker's vehicles on or before May 7 will be shielded from the hike, the company said in a statement. "Increase in prices of commodities, such as steel and precious metals, necessitates us to pass on a part of it through increase in price of our products," said Shailesh Chandra, President – Passenger Vehicles Business.
It also hiked prices across its commercial vehicle range in January this year.
Tata Motors' announcement follows several other automakers going for price spikes on select models in recent times. In fact, most of the automakers have increased prices of their vehicles twice this year - first in January and then in April.
Earlier this week, Mahindra & Mahindra silently hiked prices of all models across its portfolio by up to Rs 49,000. The price hike includes models such as the KUV100, XUV300, Bolero, Thar, Marazzo, XUV500, and Alturas G4.
Similarly, Swedish carmaker Volvo also increased the prices of its luxury sedan S90 and premium SUVs, XC40, XC60 and XC90, in the range of Rs 1 lakh to Rs 2 lakh this week. Volvo said the decision was taken in the wake of rising input costs, volatile forex situation over the years and the impact of the Covid-19 pandemic on the routine business set up.