After the brands like Maruti Suzuki and Hyundai hiked the prices across all models in the country, now Toyota is planning to hike the prices of all its vehicles, in order to counterbalance the impact of rising input costs and adverse foreign exchange, caused due to the appreciation of the yen and dollar. Toyota could increase the price by 2 to 3 percent across all the products soon.
Speaking to the newspaper The Hindu, Mr N Raja, Director and Senior Vice President Toyota Kirloskar Motors said, “There has been increased pressure due to appreciation of yen and dollar. Besides, input costs for commodities like steel have gone up. We have been absorbing the cost but we will be reviewing it soon.”
While further for the expected quantum of price rise, he also added “It is usually 2-3 per cent and this time around it could be the same.”
Speaking on this, he also added that the appreciation of the dollar and yen is around 10 - 15 percent, as the company imports component and spares from Thailand and Japan. The company is planning to take the decision of the price hike.
In India, Toyota Kirloskar Motors sells a range of products starting from the recently launched hatchback, the Etios Liva to the top ranging SUV, the Land Cruiser LC 200, ranging from Rs 5.24 lakh to 1.34 crore. Companies like Hyundai and Maruti Suzuki have raised the prices of all products due to this impact.
Toyota has also shut its Bidadi facility in Karnataka due to Cauvery issue and Raja said that before taking any further decision we will have to evaluate the situation.