Car Prices in India to Rise from April 2025: Here’s What You Need to Know

Overview of the Upcoming Price Hike on Cars

Starting April 2025, car buyers in India will have to shell out more as several automakers have announced price hikes across their product ranges. The primary reasons cited for these increases include rising input costs, commodity price inflation, supply chain expenses, and fluctuating currency exchange rates. While some manufacturers have disclosed specific hike percentages, others have yet to confirm exact figures.

Carmakers Implementing Price Hikes

Maruti Suzuki

• Maruti Suzuki, India’s largest carmaker, will increase prices across its entire lineup by up to 4%.
• The price hike is attributed to rising operational and input costs.
• Affects popular models like Alto K10, Wagon R, Brezza, Baleno, Grand Vitara, and Invicto.

Hyundai

• Hyundai has announced a price hike of up to 3%.
• Models like Creta, Grand i10 Nios, Exter, and Ioniq 5 will see revised prices.
• The company cites increased raw material and operational costs as key factors.

Tata Motors

• Tata Motors will raise prices across its ICE, CNG, and electric vehicles.
• The exact percentage is undisclosed, but previous hikes have gone up to 3%.
• Affects models such as Nexon, Punch, Tiago, Altroz, Curvv EV, Harrier, and Safari.

Mahindra & Mahindra

• Mahindra will increase prices by up to 3%.
• Affects SUVs like XUV700, Thar, Scorpio, and Bolero.
• The company attributes the hike to higher input and commodity costs.

Kia

• Kia India will increase prices by up to 3% across its lineup.
• Includes models like Sonet, Seltos, and newly launched Syros.
• The rise is due to supply chain expenditures and commodity costs.

Honda

• Honda has also announced a price increase, though the exact percentage is yet to be confirmed.
• Affects models like Amaze, City, Elevate, and City Hybrid.

Renault

• Renault will implement a price hike of up to 2%.
• Affects models like Kwid, Kiger, and Triber.
• This marks Renault’s first price increase since 2023.

BMW

• BMW will increase prices by up to 3% across its luxury lineup.
• Affects models like X3, X7, Mini Cooper S, and M5.

Why Are Car Prices Increasing?

Several key factors are contributing to this price increase:

• Rising Input Costs: Higher costs of raw materials like steel and aluminum have impacted production expenses.
• Currency Fluctuations: The depreciation of the Indian Rupee against the US Dollar has made imported components more expensive.
• Increased Operational Expenses: Logistics, labor, and regulatory compliance costs have surged in recent months.
• Feature Additions: Many new models come equipped with additional features and advanced safety tech, further driving up costs.

Impact on Consumers

The price hikes may slightly impact demand, particularly in the budget car segment. However, given the strong discounts and financing options available, experts believe the market will remain stable. Premium car buyers, who are less sensitive to minor price changes, are expected to continue purchasing high-end models.

Final Thoughts

If you are planning to buy a car soon, it may be beneficial to make your purchase before April 1, 2025, to avoid the increased prices. On the other hand, those who can wait may benefit from potential festive discounts later in the year.

Are you considering buying a car before the price hike takes effect? Let us know in the comments!