General Motors India has joined the list of carmakers who have increased car prices in recent days. The American carmaker who sells its cars in India under the brand name Chevrolet has stated it will increase car prices by 1% effective from 1st October.
GM India said increasing input costs and currency fluctuation had resulted in the new price hike. The carmaker had previously increased prices in January citing the same reason. Car prices had increased again after March following increased taxes in the union budget.
General Motors India Vice President P Balendran has said: " The details, such as quantum of hike, are still being evaluated but we have decided to increase the prices of all our models from October 1 due to high input costs, currency fluctuation and freight costs."
GM India has a variety of products in its line-up starting with the Rs.2.85 lakh Spark to the Rs.24.6 lakh Captiva premium SUV. GM India's price hike will mean cars sold from 1st October will be slightly more expensive. The new price will be effective even to deliveries of cars that have been booked before October.
Maruti Suzuki and Honda had earlier stated that they will also increase prices by a small percentage from October 1st. While Maruti Suzuki's price hike is 1.02% Honda's price hike is a slightly higher 2.6%.
The drop in the value of the Indian Rupee has put several carmakers under pressure as their import costs has increased.