The country’s fastest growing luxury car maker Audi India is likely to hike the price of its portfolio models by as much as 2 percent from early next year. The firm is believed to have finalized the size of price hike for its entire range of luxury cars in India. The continuous fall in the value of rupee against the dollar is a major reason behind this price hike.
In a recent statement given to ET, Audi’s India head, Michael Perschke said, "The exchange rate is hurting us. The input costs are also very high. At this situation, nobody can seriously avoid a price hike." He added that any possible price hike will come into effect in the first quarter of next year.
As per industry sources, the company is witnessing a considerable shrink in its margins due to depreciating rupee. The high volume segment has been affected the most due to falling rupee.
At present, Audi India is the third largest luxury car maker in the Indian auto market following BMW and Mercedes Benz at first and second place respectively. The company’s luxury car models in the Indian auto market ranges from Rs 27.69 lakh to Rs 1.50 crore (ex-showroom, Delhi).
The leading car makers including Toyota, Ford, General Motors, and Mahindra & Mahindra have already announced to hike the price of its car models in the Indian auto market from next month.
