Mercedes-Benz, the renowned German luxury car manufacturer, has revealed its decision to implement a price hike of up to 2% on specific models in India, effective January 1 next year. This move is aimed at partially mitigating the escalating input, commodity, and logistics expenses faced by the company.
The upcoming price adjustments will vary across models, ranging from an increase of Rs 60,000 for the C-Class to Rs 2.6 lakh for the GLS SUV and up to Rs 3.4 lakh for the premium imported Mercedes-Maybach S 680.
Mercedes-Benz India’s Managing Director and CEO, Santosh Iyer, explained that the decision to adjust prices was influenced by high-cost pressures arising from mounting input costs, fluctuations in commodity prices, and an uptick in logistics expenses. Iyer emphasized the need for this adjustment to sustain profitable business operations and maintain competitive pricing in the market.
“While we are committed to absorbing the majority of this cost increase through enhanced efficiencies, a marginal adjustment in prices for select models is essential to navigate these challenges. We aim to strike a balance that allows us to absorb the bulk of the increased costs while passing on only a minimal portion to the market. Our customized financing solutions through MBFS (Mercedes-Benz Financial Services) will play a pivotal role in ensuring customers experience an optimal cost of ownership, with minimal impact,” stated Iyer.
Mercedes-Benz India offers a diverse range of luxury vehicles, spanning from the A-Class sedan to the SUV G63 AMG, with prices ranging between Rs 46 lakh and Rs 3.4 crore. The decision to increase prices aligns with the broader industry trend, as several other major automotive players, including Maruti Suzuki, Hyundai Motor India, Tata Motors, Mahindra & Mahindra, Honda, Volkswagen, Škoda Auto, Audi, and BMW, have also announced plans to adjust vehicle prices in January, citing the need to offset rising input and material costs.
