With no hope of improvement in the rapidly decreasing value of the Indian rupee against the U.S dollar, the Indian automakers - as suspected - have now begun revising their respective car prices to offset company losses. Just two days back it was General Motors who made an upward revision in prices by up to Rs 10,000 for its Chevrolet Beat, Sail sedan, Sail U-VA and Enjoy MPV and now Mercedes Benz have joined the price-hike wagon.
Effective from 1 September 2013, the entire range of Mercedes Benz cars in India will become expensive by 2.5 per cent to 4.5 per cent. The cause for the price hike has obviously been attributed to the high exchange rates, higher import duties and rising input costs.
The good news however, is that the recently launched locally built GL-Class has been spared from the aforementioned price hike. The locally assembled GL-Class was introduced last week in the country at Rs 72.58 lakh (ex-showroom, Pune).
Mr Eberhard Kern, managing director & CEO, Mercedes-Benz India commented, “The rising input costs along with higher import duties have been creating significant pressure on our bottomlines for quite some time now. The constant weakening of the currency and the increase in other relevant taxes further impacted the business, adversely. We have been absorbing a significant portion of these impacts till now, but to run a sustained and profitable business in the long run, revising the prices upwards was inevitable. However, despite the price hike, the attractive financial solutions from Mercedes-Benz Financial Services like ‘Flexinomics’, ‘STAR Agility’ and ‘STAR Supersonic’ loan approvals etc. are all tailor made for our customers. These solutions will provide benchmarking value proposition enabling a hassle free purchase, while our after-sales programmes like Star Care, Star Ease and Road Side Assistance, will enhance the customer’s overall ownership experience.”