Honda India has an array of product on offer in India, they had recently hiked prices of their vehicles in January, 2015. Now they are mulling a second price hike, which will go in effect by April, 2015.
The Japanese manufacturer has justified hike in vehicle prices, owing to the increase of raw material cost. Honda India has not revealed the amount of hike for all their models.
Honda officials have claimed that the increase in raw materials has been affecting them since February. They have tried to delay a hike in price as much as they could, however, they are now forced to increase prices.
Indian Government during the Union Budget increased excise duty to 12.5 percent. They also raised the education cess that is applied to vehicles. Honda explains that their Amaze and Brio are affected the most.
Honda currently offers the Brio hatchback, Amaze compact sedan, City sedan, Mobilio MPV and CR-V SUV in India. It is unconfirmed if other manufacturers will be increasing prices as well for their models.
Price hikes are evident, however, we ask you will you be willing to pay additional amounts for Honda vehicles. What about vehicles that have been built with materials previous to increase in raw materials? Will Honda offer only new models with their new pricing?