Indian two-wheeler major Hero MotoCorp has announced plans to increase prices from next year. In a filing on Bombay Stock Exchange on Monday, the company said it will increase prices up to Rs 2,000 from January 1, 2020, depending on the model and specific market.
"Hero MotoCorp... will make an upward revision in the ex-showroom prices of its motorcycles and scooters, effective January 1, 2020," the company said in its filing. "The price increase across its range of two-wheelers will be up to Rs 2000, although the exact quantum of the increase will vary on the basis of the model and the specific market."
Hero MotoCorp's portfolio includes affordable motorcycles like Splendor, HF Deluxe, as well as premium offerings like Xtreme 200S and Karizma ZMR. The company also markets scooters including Maestro Edge 125, Pleasure, Destini 125 and others.
Earlier this month, India's biggest car manufacturer Maruti Suzuki had announced that it will increase prices of its various models from January 2020. The price increase will be different across models.
"You are kindly informed that over the past year, the cost of the company's vehicles has been impacted adversely due to increase in various input costs. Hence, it has become imperative for the Company to pass on some impact of the above additional cost to customers through a price increase across various models in January 2020. This price increase shall vary for different models," the company said in a regulatory filing.
The decision to increase prices comes at a time when the Indian auto sector is battling its worst slowdown in decades. The price hike by auto companies from the beginning of next year is expected to encourage buyers to purchase a car before the end of this year.