Fiat cuts Palio price, Bajaj cuts bike prices

Fiat has reduced the price of the company's flagship model, Palio Stile, by Rs 12,000 following the cut in excise duty rates.  The cut will be applicable on all the three versions of the car - SL, SLE and SLX.

Rajeev Kapoor, CEO, Fiat India Automobiles, said: "We welcome this move by the Finance Minister, and have decided to pass on the benefit to our customers. The price revision will be applicable across the country effective March 1."

Bajaj Auto, the country's second-largest two-wheeler maker, today announced a reduction in prices of motorcycles.

The reduction comes after Finance Minister P Chidambaram's proposal of cutting excise duty on two-wheelers to 12% from 16%. Bajaj Auto has, however, reduced prices over and above the excise duty benefit to revive sales.

The price of entry-level 100cc model Platina has been reduced by Rs 3,000, and the showroom price now stands at Rs 30,000. The prices of Discover (125cc and 135cc), Pulsar (150cc and 180cc) and automatic scooter Krystal have been reduced by Rs 1,000.