Hyundai Motor India Limited (HMIL) has announced a price increase across its entire model range, effective January 1, 2025. The adjustment, up to ₹25,000 per vehicle, is attributed to rising input costs, adverse exchange rates, and increased logistics expenses.
Rationale Behind the Price Hike
Tarun Garg, Whole-time Director and Chief Operating Officer of HMIL, stated, “At Hyundai Motor India Limited, our endeavor is always to absorb rising costs to the extent possible, ensuring minimal impact on our customers. However, with the sustained increase in input cost, it has now become imperative to pass on a part of this cost escalation through a minor price adjustment.”
Impact on Hyundai’s Model Range
The price increase will affect all models in Hyundai’s lineup, including popular vehicles such as the Creta, Venue, and Grand i10 Nios. The exact increment will vary depending on the model and variant, with a maximum increase of ₹25,000.
Industry-Wide Trend
Hyundai’s decision aligns with a broader industry trend, as several automakers have announced price hikes due to similar cost pressures. For instance, Tata Motors increased prices of its commercial vehicles twice in 2024.
Market Implications
The price adjustment comes at a time when the automotive industry is grappling with challenges such as high import duties on raw materials and supply chain disruptions. Despite these hurdles, Hyundai remains committed to delivering value to its customers while navigating the economic landscape.
Customer Advisory
Prospective buyers are advised to consider the impending price increase when planning their purchases. Those looking to acquire a Hyundai vehicle may benefit from finalizing their transactions before January 1, 2025, to take advantage of current pricing.
In conclusion, Hyundai Motor India’s decision to implement a price hike reflects the company’s response to escalating operational costs. While this move may impact consumers, it underscores the necessity for automakers to adapt to economic conditions to sustain their operations and continue offering quality products.
