Maruti Suzuki, India's largest passenger car manufacturer, is set to increase its vehicle prices by up to 4% from April 2025. This price adjustment comes as a response to escalating input and operational costs.
The price rise will vary across different models, reflecting the company's efforts to manage costs while balancing customer impact.
In a regulatory filing, Maruti Suzuki stated, “In light of rising input costs and operational expenses, the company has planned to increase the prices of its cars from April, 2025.”
The company acknowledged the challenges of maintaining cost efficiency while some of the increased expenses will inevitably be passed on to consumers. This strategic move aims to mitigate the financial pressures faced by the company due to inflationary trends and higher logistics expenses.
Maruti Suzuki has consistently adjusted its pricing strategy in recent months. A similar price hike was enforced in January 2025, with increases of up to Rs 32,500 announced last December. This pattern reflects the broader struggles of the automotive industry with cost pressures. The company remains committed to minimising the impact on customers, although some cost burdens will be transferred to the market.
Following the price hike announcement, the company's share price saw an increase of nearly 2%.
In February 2025, the Maruti Suzuki Fronx emerged as the best-selling car in India, with Brezza, WagonR, and Swift also featuring prominently in sales. During this month, Maruti Suzuki achieved a marginal growth of 0.97% in total sales, reaching 199,400 units compared to the previous year. The decline in exports by 13.5% year-on-year offset some of the domestic sales gains.
The upcoming price increase highlights Maruti Suzuki's strategy to navigate the current economic climate while maintaining its competitive edge in the market. As operational costs continue to rise, the company is making tactical adjustments to sustain its growth trajectory.