Prices of cars, motorcycles go up from today (Thursday)
The reasons behind the price increase are rising input costs and other macroeconomic factors
Prices of cars and two-wheelers are set to go up from Thursday (January 1) citing various reasons like higher cost of precious metals and commodities, ongoing forex challenges and other macroeconomic factors.
For instance, Hyundai Motor India (HMIL) on Wednesday announced a minor price increase with weighted average of around 0.6 per cent across its model range due to the rise in the cost of precious metals and commodities, effective from January 1.
“While the company continuously strives to optimise costs and minimise the impact on its customers, the company is constrained to pass on some of the increased costs to the market through this minor price increase,” HMIL said.
Similarly, JSW MG Motor India announced a marginal price hike of up to 2 per cent across its product offerings, saying the price increase will vary as per the model and variant. “The reasons behind the price increase are rising input costs and other macroeconomic factors,” the company said in a statement.
Marginal revision
‘Kiger’ maker Renault India also announced a marginal revision of up to 2 per cent in prices, effective January.
The price increase will vary across models and variants and has been necessitated by rising input costs and prevailing macroeconomic factors.
In the luxury cars segment, Mercedes-Benz India had announced upwardly revising the price of its vehicle range by up to 2 per cent, from January 1.
The price adjustments reflect ongoing forex challenges as euro-rupee exchange rate consistently remains above ₹100 mark in 2025. This has been significantly higher than historical averages, it said.
“Currency headwinds have persisted longer than we anticipated this year, with euro consistently trading over ₹100 mark. This prolonged volatility affects every aspect of our operations, from imported components for local production, to completely built units. In addition, rising input costs, increasing logistical expenses, in combination with inflationary costs have significantly risen our overall operational costs,” Santosh Iyer, Managing Director and Chief Executive Officer, Mercedes-Benz India, said.
The company has been shielding customers from full impact of the currency movement, by only passing on marginal costs to the market, he said.
“Thanks to RBI’s continuous repo rate reduction, enabling Mercedes-Benz Financial Services to pass on the benefits to end customers, thereby mitigating price increase effect to a large extent,” Iyer added.
Price increase
In the two-wheeler segment, BMW Motorrad India and Triumph Motorcycles had announced a price increase.
“Pressure from forex due to Indian rupee’s sharp depreciation against US dollar and euro has not eased for several months now and the input costs of raw materials and logistics have been impacted. The planned price hike measure will ensure necessary profitability and continued value generation for the company as well as our dealer partners,” Hardeep Singh Brar, President and CEO, BMW Group India, said.
While BMW Motorrad said it will increase the prices up to 6 per cent across the range effective, Triumph Motorcycles said it will no longer offer discounted price on motorcycles above 350 cc. The brand had chosen not to increase prices even after the recent revision in the GST slab, it added.
Published on December 31, 2025
