 "Budget 2016 impact: Tata Motors hikes prices by up to Rs 35,000")
Tata Motors said today that it will raise the prices of its passenger vehicles in the range Rs 2,000-35,000 with immediate effect.
The increase is a result of the 'Infrastructure Cess' levied by the finance minister Arun Jaitley in the Union Budget announced on Monday. Thus prices of all its passenger cars such as Nano, Indica, Indigo CS, Zest, Bolt, Safari, Sumo and Aria have been raised.
"In line with the cess levies from the Budget Announcement, we are increasing the prices on our passenger vehicles with immediate effect. This will be in the range of about Rs 2,000 to about Rs 35,000, based on the exact cess amount for the specific category. The price increase is only reflective of the new cess levy", said the Mumbai-based company.
A one per cent cess on small petrol, LPG and CNG powered cars, 2.5 per cent on small diesel cars and 4 per cent on all other vehicles was proposed in the Budget.
Other car makers such as Maruti Suzuki, Honda and Toyota said they will announce details of the increase on Wednesday.