Tata Motors has announced a price increase across its internal combustion engine (ICE) portfolio of passenger vehicles.
The company said in a statement it has been absorbing a significant portion of the increased costs on account of regulatory changes and a rise in overall input costs. However, now it is passing on some portion to customers through this hike.
Effective February 1, the weighted average increase will be 1.2 per cent, depending on the variant and model, said the company.
Customers can expect to pay slightly more for Tata’s popular models such as the Tata Tiago, Tata Altroz, and Tata Harrier.
The company’s main competitor, Maruti Suzuki, also announced a price increase of 1.1 per cent on their models earlier this month because of similar cost pressures.
India has mandated that all automakers must comply with stricter fuel efficiency regulations by April of this year and will also require all cars to have six airbags by October.
The company will also be increasing the prices of its commercial vehicles from next month, according to sources. The extent of the price increase is not yet known.
Tata Motors’ stock jumped over 8 per cent to Rs 453.2 after the company announced its Q3 results of a consolidated net profit of Rs 2,958 crore against a loss of Rs 1,516 crore over a year ago.
