Maruti hikes prices by up to Rs34,494 to cover infrastructure cess

03 Mar 2016

Maruti Suzuki India Ltd today announced an across-the-board hike in prices of its various models, ranging from Rs1,441 to Rs34,494, to offset the impact of the levy of infrastructure cess proposed in the Union Budget.

Maruti Suzuki's announcement of a price hike follows similar hikes by other car makers like Tata Motors and Hyundai.

The company did not specify if the increase in prices would take effect immediately, nor has it provided the increase in price in terms of individual models.

Maruti Suzuki, however, exempted its smart hybrid models Ciaz SHVS and Ertiga SHVS from the price hike as both these cars are exempt from the infrastructure cess.

Maruti Suzuki currently has introduced this system in the diesel variants of the Ciaz and the Ertiga and both these models benefit from the FAME (Faster Adoption and Manufacturing of (Hybrid & Electric Vehicles in India) scheme, introduced by the government.

"As smart hybrid models (Ciaz SHVS and Ertiga SHVS) are exempt from the Infrastructure Cess, there is no change in the prices of these models," the company said in a statement.

Hyundai Motor India, the second largest passenger car maker in the country, had announced an increase in its prices between Rs3,000 and Rs80,000 across models. Tata Motors also had announced an increase in prices by up to Rs38,000.

Luxury car maker Mercedes-Benz India also announced a 5 per cent hike in the prices of its models.

Other companies are expected to hike prices soon.