Car buyers face fresh shock as Hyundai, Tata and MG hike prices

Bengaluru: Motorists already struggling with rising prices of essential commodities are facing another financial burden, with several leading automobile manufacturers increasing the prices of their passenger vehicles.

Hyundai, Tata Motors and MG are among the manufacturers that have raised vehicle prices, citing higher raw material and logistics costs. The price hikes are expected to increase the cost of buying several popular models across hatchback, sedan and SUV segments.

Hyundai Motor India has announced a price increase of up to 1% across its model range. The revised prices will apply to several models, including the Creta, Venue, Verna, Alcazar, Exter, i20 and Grand i10 Nios.

Depending on the model and variant, the increase is expected to range from around ₹15,000 to ₹70,000, adding to the financial burden on prospective buyers.

The price revision comes after Maruti Suzuki had already announced a hike in vehicle prices, adding to the pressure on customers in the passenger vehicle market.

Tata Motors has also increased prices of its passenger vehicles by up to ₹25,000. Popular models such as the Nexon, Punch, Harrier, Curvv EV and Tiago are among the vehicles affected by the latest revision.

MG is also understood to have increased prices of its vehicles by around ₹40,000 to ₹50,000, according to showroom sources.

Sales executives said manufacturers were being forced to revise prices due to rising input costs.

“The impact of geopolitical conflicts globally and the increase in raw material prices have made a hike in car prices unavoidable,” sales executives said.

The latest price increases are likely to affect customers planning to purchase new vehicles, particularly those working with fixed budgets.

With car prices already varying significantly depending on the model, variant and features, even a moderate increase could raise the overall cost of ownership. Customers may also have to pay higher amounts if they opt for financing, as a higher purchase price can increase monthly loan repayments.

The automobile industry has been closely monitoring raw material prices, logistics expenses and global supply-chain conditions. Manufacturers have periodically revised prices to offset rising production costs.

However, the latest hikes have disappointed prospective buyers who were planning to purchase vehicles in the coming weeks.

Some customers are reportedly postponing their purchases in the hope that prices may stabilise or manufacturers may introduce festive-season offers to offset part of the increase.

The price revisions are also expected to intensify competition among manufacturers as companies seek to balance higher production costs with the need to maintain sales volumes.

For customers, the immediate impact will be higher upfront costs for several popular vehicles. Those planning to buy a car may therefore have to compare prices, discounts, financing options and variant-wise features more carefully before making a purchase.