Hyundai Motor India (HMIL) has announced that it will be raising the prices of its entire model range starting from 1 January 2025. The decision to increase prices was driven by factors such as rising input costs, higher logistics expenses, and unfavourable exchange rates.
According to HMIL director and COO Tarun Garg, the price revisions are necessary due to the sustained increase in input costs. The company aims to absorb as much of the cost escalation as possible to minimize the impact on customers. However, a minor price adjustment of up to Rs 25,000 ($295.31) will be implemented across the MY25 vehicles to offset the rising costs.
Garg stated, “This price increase will be done across models and the extent of increase will be up to Rs 25,000. The price increase will be effective from 1 January 2025, on all MY25 models.” HMIL is committed to informing customers in advance to avoid any surprises, and the price adjustment will be uniformly applied across its diverse lineup.
This move by Hyundai follows a similar decision by Audi India, which recently announced a 3% price increase across its range of models. Audi cited similar cost pressures as the reason for the price hike, affecting models such as the Audi A4, Q7, e-tron GT, and RS Q8.
Audi India head Balbir Singh Dhillon emphasized the importance of the correction in prices to ensure sustainable growth for Audi and its dealer partners. The company aims to minimize the impact of the price hike on its valued customers.
Price adjustments at the beginning of each year have become a common practice in the automotive industry. Companies like Hyundai and Audi adjust their prices to reflect the cost increases experienced in the previous year, supporting sustainable business practices and growth while considering the overall market environment.
In conclusion, Hyundai Motor India’s decision to increase prices across its entire model range reflects the challenging economic conditions faced by the automotive industry. By passing on a part of the cost escalation to customers, HMIL aims to maintain its commitment to providing high-quality vehicles while navigating the evolving market dynamics.
