Carmakers refrain from price hike despite surge in key input costs

Market leader Maruti sets the trend, says it will hike prices only when such a move becomes necessary

Car buyers have a reason to cheer — at least temporarily. In a departure from the previous trend, majority of passenger vehicle makers have refrained from going for an immediate price hike even as prices of key raw materials including steel, aluminium, copper, have risen sharply in the recent past. This, despite most companies seeing a good volume run, which in turn give them enough power to hike prices. 

Passenger vehicles sales in India rose 7.8 per cent to 3.2 million in 2018-19, according to Society of Indian Automobile Manufacturer (Siam). But most including volume carmakers Maruti Suzuki India and Hyundai