Mahindra evaluating up to a 3% price hike as steel prices surging rapidly

Mahindra cars are expected to be pricier between 1.8%-3%, under the latest upward price revision, revealed M&M Chief Executive (Automotive Division) Veejay Nakra.
By : HT Auto Desk
| Updated on: 09 May 2021, 02:55 PM
Mahindra has already announced a price hike in mid-April 2021.
Mahindra has already announced a price hike in mid-April 2021.
Mahindra has already announced a price hike in mid-April 2021.
Mahindra has already announced a price hike in mid-April 2021.

Indian auto major Mahindra & Mahindra (M&M) is keeping a close watch on the recent increase in commodity prices. The steel price is surging rapidly, and considering the fact that steel is heavily used as a raw material for vehicle manufacturing, the automaker is keeping a watch to see how the situation pans out. Depending on that, the automaker will initiate action to safeguard its business.

Similar Cars

Find More Cars
Bmw X3-m (HT Auto photo)
Bmw X3-m
2993 cc | Petrol | Automatic (Torque Converter) | 13.17 kmpl
₹99.9 - 99.99 Lakhs*Onwards
Bmw X5 M (HT Auto photo)
Bmw X5 M
4395 cc | Petrol | Automatic (Torque Converter) | 8.29 kmpl
₹1.95 - 2.03 Cr*Onwards
Mahindra Kuv100 Nxt (HT Auto photo)
Mahindra Kuv100 Nxt
1198 cc | Petrol | Manual
₹5.66 - 8.13 Lakhs*Onwards
Mahindra E20 Nxt (HT Auto photo)
Mahindra E20 Nxt
₹6 - 8 Lakhs*Onwards
Mahindra E2o-plus (HT Auto photo)
Mahindra E2o-plus
Electric | Automatic
₹7.34 - 9.57 Lakhs*Onwards

(Also Read: New 2021 Mahindra Bolero to launch soon. What to expect)

Mahindra cars are likely to become pricier by up to 3%. The upward price revision will be ranging between 1.8% and 3%, depending on models and variants, as said by M&M Chief Executive (Automotive Division) Veejay Nakra to PTI.

Owing to the surging prices of the raw materials, other auto manufacturers such as Tata Motors and Maruti Suzuki India have already announced price hikes in a bid to offset the impact of the increased input costs. Tata Motors cars have become dearer by up to 1.8% under the latest price revision. Maruti Suzuki cars too come pricier by up to 22,500 according to the latest price revision announced by the car brand.

The domestic steel producers have hiked the prices of hot-rolled coil (HRC) and cold-rolled coil (CRC) by 4,000 and 4,500 per tonne respectively in the last few days. Both the HRC and CRC are heavily used in automobile and auto component manufacturing as well. With the price revision, now a tonne of HRC costs 67,000, while the one tonne of CRC costs 80,000. The price of the HRC and CRC could again be increased in mid-May or early-June 2021.

Talking about the surging prices of raw materials and the possibility of the Mahindra vehicle price hike, Veejay Nakra said that the homegrown automaker uses multiple levers to manage its cost. He said that the company always tries to mitigate commodity price increases through internal cost measures, be it on material cost through value engineering or by managing our fixed cost.

Earlier this year, in mid-April, Mahindra has already announced a price hike decision owing to the increase in commodity prices over the past couple of months that resulted in input costs hike. "Going forward, we will keep a close watch on how the commodity prices play out and take appropriate action accordingly," he added while talking about the possible upcoming price hike.

First Published Date: 09 May 2021, 02:55 PM IST
Recommended For You
View All

Please provide your details to get Personalized Offers on

Choose city
+91 | Choose city
Choose city
Choose city
By clicking VIEW OFFERS you Agree to our Terms and Privacy Policy

Dear Name

Please verify your mobile number.

+91 | Choose city