The Recession Affect on Automobile Prices

Jan. 28, 2009 - PRLog -- The weak rupee is causing top automobile manufacturers in India to spend more to import automobile components.   India's largest passenger car manufacturer has already announced Rs.5000-10000 hike with effect from January 28,09.

Hyundai is soon to announce hike by 2% across its range bringing Santro price up by Rs. 5000 while that of Sonata by almost Rs.25,000.

The pricing of the following cars have gone up by:

A-Star hatchback -                        Rs 10,000
All variants of SX4 sedan -             Rs 9,000.
The price of Swift Petrol LXi                   Rs 5,000.
For the higher variants of Swift-VXi and Zxi-   Rs 6,000.
The new prices for Swift DZire          Rs. 7,000

The price of steel has gone up for carmakers as all major steel suppliers have increased their contract prices, even though metal prices have softened in the spot market over the recent past.

Besides Maruti and Hyundai, all major carmakers like Honda Siel cars India and Ford Motor India are also likely to raise prices. But, Maruti has made no change in the prices of its economy-end vehicles-M800, Omni, Alto, WagonR, Zen Estilo, Gypsy, Versa, besides the SUV Grand Vitara.

The recession affect on Automobile Prices

The weak rupee is causing top automobile manufacturers in India to spend more to import automobile components.   India's largest passenger car manufacturer has already announced Rs.5000-10000 hike with effect from January 28,09.

Hyundai is soon to announce hike by 2% across its range bringing Santro price up by Rs. 5000 while that of Sonata by almost Rs.25,000.

The pricing of the following cars have gone up by:

A-Star hatchback -                Rs 10,000
All variants of SX4 sedan -             Rs 9,000.
The price of Swift Petrol LXi           Rs 5,000.
For the higher variants of Swift-VXi and Zxi-   Rs 6,000.
The new prices for Swift DZire          Rs. 7,000

The price of steel has gone up for carmakers as all major steel suppliers have increased their contract prices, even though metal prices have softened in the spot market over the recent past.

Besides Maruti and Hyundai, all major carmakers like Honda Siel cars India and Ford Motor India are also likely to raise prices. But, Maruti has made no change in the prices of its economy-end vehicles-M800, Omni, Alto, WagonR, Zen Estilo, Gypsy, Versa, besides the SUV Grand Vitara.


http://www.automobileindia.com/cars/