Homegrown car manufacturer Tata Motors is all set to increase the prices of their passenger cars just before this festive season due to rising manufacturer costs. According to the President of Tata motors passenger vehicles business unit, the company will hike the price of its vehicles and is currently working out the details. He also hinted that Tata Motors would increase the price during this festive season and the price hike would affect all the passenger vehicle including the Tata Nano.
The company has refrained from price increase for quite a while now, even when its competitors like Maruti Suzuki, Hyundai, and Mahindra & Mahindra increased the prices of their vehicles earlier this year. Till date no confirmation is available on the exact amount of price that is to be increased, but one can expect that it would be announced within a few days.
Tata Motors sells a wide range of passenger vehicles from the cheapest being the Tata Nano to the costliest being the Tata Aria at a price range of INR 2.15 lakhs to 16.3 lakhs. The company is working hard nowadays to change the perception about Tata vehicles, which is quite evident from the launch of the all new Tiago which has got quite a bit of fan following. In order to expand its lineup, Tata motors will be launching quite a few cars like the Nexon, the new generation Nano, Hexa and the Kite hatchback.
Tata’s most recent launch the Tiago has been applauded by many critics and is a completely different breed compared to older generation Tata cars. The Tiago has two engine options, where one is a 1-liter Revotron diesel engine and the other one is a 1.2-liter petrol engine. The petrol engine produces 84bhp and 114Nm of torque and the diesel engine produces 69bhp and 140Nm of torque.
Recently the company achieved a nice 5% sales growth in the Indian market and an impressive 29% export growth. Now after achieving a substantial amount of profit, the company is increasing the prices. So we have to wait and see how it affects the growth rate of the company.