Audi India has decided to raise the prices of the cars in its domestic line up after the Union Budget 2012 was announced. The models that arrive in the country as Completely Built Units (CBUs), such as Audi A7, A8 and RS5, will now see a hike of 13 to 14 per cent in prices. On the other hand, the cars that are manufactured locally, namely Audi A4, will cost 3.4 to 3.7 per cent more after the price revision. Thus, the A7 Sportback, RS 5 and A4 will bear price tags of Rs. 66.04 lacs, Rs. 85.95 lacs and Rs. 30.60 lacs, respectively in the country.
The company is also working on changing its overall pricing strategy after the excise and customs duties levied by the Indian government were increased. The world renowned German luxury car manufacturer aims to roll out 7500 to 8000 units in 2012, which is a considerable increase over last year's target of 5000 units.
Despite the rise in car prices, Audi believes that it can achieve the sales target due to lowered interest rates by Reserve Bank of India (RBI), the central bank of the country. Moreover, it is banking on Indian customers who are likely to upgrade to a new luxury car and the buzz around the upcoming Audi Q3 to achieve its sales target. The consolidated global sales of Audi in January and February 2012 account for a total of 2,02,700 units, making 2012 the first year in which the car maker crossed the 2,00,000 mark in two months only.
