Several automakers in the country are planning to hike prices of vehicles from January 2022 in the wake of the ongoing chip shortage that has led to slow production despite high demand.
For over a year, automotive companies operating in India have been suffering losses due to supply disruptions and the semiconductor crisis. While the chip shortage situation has improved, most carmakers have a huge backlog due to higher demand and lower production.
In such a scenario, top vehicle manufacturer Maruti Suzuki India said on Thursday that it plans to hike prices of its models from next month to offset increased production costs. Several other car manufacturers like Tata Motors and Hyundai Motor India are also expected to hike prices to make up for losses due to higher input costs.
A spokesperson for Tata