Mercedes-Benz India has announced an increase in prices for select model range in India. With effect from August 2019, select Mercedes-Benz cars will see an upward revision in prices, up to 3 percent across the model range. While the company hasn’t shared the list of models that will see the price hike next month, the carmaker does mention that the current increase in customs duty on automotive parts and additional cess and excise duty on fuel has led to the price hike.
Martin Schwenk, Managing Director & CEO, Mercedes-Benz India said, “As the leading luxury automobile maker in India, we have been relentlessly working on offering the best of products and industry benchmark customer service and ownership experience. However, a hike in customs duty on automotive parts, compounded by an increase in excise duty, and cess on fuel have had a significant impact on our bottom line. We were left with fewer options, but to make some necessary price adjustments to our product range at the moment to offset the impact of the rising input costs.”
Last time the carmaker announced a price hike in India was back in September 2018, along with several other carmakers, after the value of the Indian Rupee reaches almost 73 compared to the US dollar.
Recently, Mercedes-Benz India also reported a sales decline of 18.60 percent in the Indian market in the first half of the calendar year 2019. The company has sold 6561 units in the January-June period this year against 8061 units which were sold in the same period a year ago.