Japanese car manufacturer Honda's Indian subsidiary Honda Cars India Ltd. has announced that the price of its entie range will be increased by up to Rs 16,000 starting from 1 January 2016. The increase in price will vary depending upon the model. The price hike is to offset impact of rising input costs.
"We will hike prices in the range of Rs 10,000-16,000 from January, depending on the model. The price increase has been necessitated on account of increase in input costs," Jnaneswar Sen, Senior Vice-President (Marketing and Sales) at Honda Cars India, told PTI.
Honda Cars India currently sells the Brio and Jazz hatchbacks, Amaze compact sedan, City sedan, Mobilio MPV and the CR-V SUV. The vehicles have been priced between Rs 4.25 lakh and Rs 25.13 lakh (all prices ex-showroom Delhi).
Honda Cars India has registered monthly domestic sales of 14,712 units in November 2015 against 15,263 units in the corresponding month last year.
Automobile manufacturer usually come up with price increase towards the end of the year primarily to sell the inventories left after festive season. This will also help the companies to boost the sales, which are usually sluggish post festive season.
Honda Cars India will be joining the major automobile manufacturers such as Chevrolet, Tata, Toyota, Nissan, Renault, Maruti Suzuki, Hyundai, BMW, Mercedes-Benz, Skoda who have already announced price hike averaging from 1% to 3% starting from 1 January.