The ex-showroom worth of the corporate’s mannequin vary will improve by as much as 5 per cent from April 1. (File)
New Delhi:
Luxurious carmaker Mercedes-Benz India on Thursday mentioned it can improve costs of its automobiles ranging between Rs 2 lakh to Rs 12 lakh throughout totally different fashions from April 1, to offset rising enter prices specifically the hostile affect of overseas trade.
This would be the second time in three months that the corporate is growing costs of its automobiles.
The ex-showroom worth of the corporate’s mannequin vary will improve by as much as 5 per cent from April 1, 2023, the corporate mentioned.
Mercedes-Benz India Managing Director & CEO Santosh Iyer advised PTI that the corporate has been monitoring the Euro and the Rupee has depreciated towards it prior to now few months.
“In October it (Euro) was round 78-79 (to a Rupee) and now it’s at 87. It’s actually placing strain and if we do not take this proactive step now, it can deteriorate our total enterprise mannequin in India,” he mentioned.
In consequence, from April, costs of the corporate’s A-Class limousine will go up by Rs 2 lakh and GLA SUV by Rs 7 lakh for the top-end S 350d limousine, whereas the top-end Mercedes Maybach S 580 will see a rise in worth by Rs 12 lakh.
This would be the second worth hike that the corporate will undertake this yr after it elevated costs in January by as much as 5 per cent.
Aside from the Rupee depreciation in comparison with the Euro, there was a rise in enter prices together with logistics, which have been exerting important strain on the corporate’s total operational value, Mercedes-Benz India mentioned.
As a way to reduce the affect of the value hike on prospects, Iyer mentioned Mercedes-Benz India has taken steps by means of its financing options.
“About 80 per cent of the vehicles bought are on finance… So, we’ve provide you with sure agility merchandise now, with the residual worth of the product is assured, and the EMI affect is not going to be greater than Rs 2,000 to Rs 3,000,” he added.
When requested if the value hike might dampen demand, he mentioned, “In fact worth will increase positively generally tend to affect demand however we nonetheless really feel with an excellent first quarter begin, we’re nonetheless cautiously optimistic a few double-digit development forecast for the yr as properly.” If in any respect there may be any affect on demand, Iyer mentioned, “We really feel they need to be mitigated by the financing programmes we’re providing.” In 2022, Mercedes-Benz India posted its finest ever gross sales at 15,822 items, as in comparison with 11,242 items in 2021 at a development of 41 per cent.
(Aside from the headline, this story has not been edited by NDTV workers and is printed from a syndicated feed.)
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