Audi To Hike Prices As Rupee Falls Again

Published: Saturday, December 24, 2011, 16:50 [IST]

Audi India is all set to follow other major carmakers and increase prices of its cars in 2012. The falling value of the Indian Rupee and the increasing input costs have put a lot of pressure on carmakers and many of them have already increased prices effective from January.

Reports Say Audi India has finalized the extent of a price hike which will be announced soon. Audi India boss Michael Perschke is quoted to have said the falling rupee had impacted the carmaker hard and it was being forced to pass on the burden to its customers.

Audi is the first premium carmaker among the three top carmakers to hike its prices. Audi has seen its sales increase beyond its own expectations in 2011 but expects to settle down a bit next year. It remains to be seen how its sales will be after it increases prices. It is yet unclear to what extent it will increase prices. All carmakers have increased prices in the range of one per cent to 2 per cent.

Audi is expected to follow the same trend. The German premium carmaker will be launching two new models in India, The Q3 premium SUV and the S6 luxury sedan. These two new models are expected to be seen for the first time in India during the Delhi Auto Expo.

While a price hike by regular carmakers will only make a small difference in the price tag of a car, Audi's decision to hike prices will see price tags change to the tune of lakhs as it has car's priced between Rs.25 lakhs and Rs.1.30 crores.

The other carmakers who have announced a price hike are Mahindra and Mahindra, General Motors, Toyota, Ford, Nissan and Hyundai.