Chennai, March 4 (IANS) Promptly passing on the “infrastructure cess” proposed in the union budget 2016-17 to car buyers, several manufacturers have hiked the prices of their models effective March 1.
Honda Cars India Ltd on Friday said it has revised the prices of its various models effective from March 1 onwards after the levy of infrastructure cess.
The price hike by Honda Cars ranges from Rs.4,000-6,000 on its Brio model to Rs.66,500-79,000 on its CR-V model.
The price hike on Jazz model ranges between Rs.5,000-19,500 while for Mobilio, it is Rs.21,800-37,700.
India’s second largest car maker Hyundai Motor India Ltd also hiked the prices of all its models.
“The new levies in Union Budget 2016 have led to price increase across the models ranging from Rs.2,889 to Rs.82,906. Today’s customers are discerning on net off value offerings. The change in price value equations could alter the overall demand, from with-in the segment to across the segments and fuel types,” its senior vice president, sales and marketing, Rakesh Srivastava, was quoted as saying in a statement.
Mahindra & Mahindra Ltd too hiked the prices of its passenger cars ranging between Rs.5,500-Rs.47,000 depending on the model.
On Thursday Maruti Suzuki India Ltd increased prices of its models would go up in the range of Rs.1,441 to Rs.34,494 across its models.
Tata Motors too increased the prices of its models in the range Rs.2,000-35,000 depending on the model.
The central government had announced levy of one-four percent infrastructure cess on cars depending on the fuel on which they are powered and their engine capacity.