Automobile major Hyundai Motor on Wednesday said it will hike prices by 1.5 per cent to two per cent across models from January 2012.
"The price increase will come into effect in January 2012. We are in the process of working out the specific increase on the various models. Broadly the increase will be 1.5 to 2 per cent across all models," said Arvind Saxena, director of marketing and sales, Hyundai Motor.
According to Saxena, rising input and fuel cost coupled with rupee depreciation were the reason behind the price hike.
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"The pressure of rising inflation, higher fuel costs and sharp rupee depreciation has compelled us to look at a price increase on our models. All these factors have now made it very difficult for us to absorb the rising costs," he said.
The company did not divulge the date from which the price revision would take place.
Currently, the company offers hatchbacks Eon, Santro, i10, i20, sedans Accent, Verna and sports utility vehicle (SUV) Santa Fe models in the country.
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Earlier, the company's November sales including exports increased by 28.1 per cent at 57,080 units from 44,540 units sold in the like period of last year.
The company said sales were boosted by the company's sedan Verna and hatchback Eon offerings which were launched recently.
Other car manufacturers such as General Motors (GM) and Toyota Kirloskar Motor (TKM) have also decided to hike prices from January.
While GM will increase prices by one-to-two per cent next year, the prices of TKM cars manufactured in India would be hiked by about 3 per cent.
"For the last three months, we have been absorbing the pressure of currency fluctuations. Now we have decided to pass on some burden to customers. We will raise the prices by 1.5-3 per cent from January 1," Toyota Kirloskar Motor (TKM) Deputy Managing Director (Marketing) Sandeep Singh had said earlier this week.
The company will increase the prices of all vehicles manufactured in India and the quantum of hike will vary from model to model. The new rates will be finalised by third week of this month, he added.
"Although we have not finalised the exact amount of hike for each models, the highest will be for our SUV Fortuner and it will be about Rs 50,000," Singh had said.
The rupee has so far depreciated by nearly 16 per cent against the US dollar in 2011. The high input and interest costs have dampened the auto-sector sales.