Tata Motors has been absorbing a substantial portion of the escalated costs due to regulatory changes and an overall increase in input costs. However, the company is now compelled to pass on some of these costs through a price hike, as stated by the company.
Tata Motors, based in New Delhi, has announced a marginal price increase for its passenger vehicles, effective from May 1, 2023. The weighted average increase will be 0.6% and will vary depending on the variant and model, as stated by the company.
Tata Motors has been absorbing a significant portion of the increased costs resulting from regulatory changes and overall input cost escalation. However, the company is now compelled to pass on a proportion of these costs through this price hike.
In addition to this, Tata Motors had previously announced a price hike of 5% for its entire commercial vehicle segment portfolio, citing the new RDE (Real Driving Emissions) norms. Other automobile companies like Kia India and Maruti Suzuki also announced price hikes in March and January, respectively.
