Maruti Suzuki India earns 2% on price increase for Swift and CNG car variants
- Actions of
Maruti SuzukiIndia rose 2% as the automaker raised prices for its Swift model and all CNG car variants.
- The new prices will be effective from July 12, 2021.
- The price increase excluding showroom (Delhi) can reach 15,000 on the above models.
Maruti Suzuki India shares gained nearly 2% as of 10 a.m. on July 12 as the company announced price hikes for its Swift model and all variants of Compressed Natural Gas (CNG) cars. due to the increase in various input costs.
Over the past year, the cost of the company’s vehicles has increased due to an increase in the costs of various inputs. Therefore, it passed on some impact of the additional cost to customers through an increase in prices.
The off-showroom (Delhi) price increase can be as high as 15,000 on the above models, the company said in an exchange filing on July 12. The non-showroom price of a vehicle is the cost of a car or bicycle without taking into account the fees paid for the registration of the vehicle at the regional transport office (RTO), road tax and l ‘insurance.
The price change will be effective from today July 12.
The automaker has informed investors that there will also be price increases on other models shortly.
This comes at a time when the company has lost market share to KIA and Hyundai. Its market share increased from 51% to 47% in FY21, while KIA and Hyundai’s market share increased to around 23% during the period, according to a report. from CNBC-TV18.
In addition, the largest automaker in India has witnessed the shutdown of some manufacturing units due to COVID-19 restrictions affecting its global operations.
“Production in June 2020 was far from normal due to lockdowns and disruptions related to COVID-19. Therefore, comparing the June 2021 production figures with those of any previous year would not be very meaningful, the company said while announcing the June production figures.
The company’s overall production increased by 1,65,576 units in June 2021 compared to 50,742 units in June 2020.
Meanwhile, the company recently launched Maruti Suzuki Smart Finance, a digital platform through which one can initiate the process of buying a car. Basically, it is an end-to-end online auto finance solution.
At a time when online shopping is done for anything and everything, the business seems to be losing a digital opportunity. He facilitated an online platform for ARENA (consumer car retail chain) and NEXA (premium car store).
Amazon India product pages drop on website as shoppers start shopping on Monday morning
Hero Electric raises 220 crore to sell over 1 million electric scooters per year