Honda Cars India, the wholly owned subsidiary of the Japanese automobile manufacturer Honda has announced that it will be increasing prices across its car portfolio in India. The carmaker has taken the decision in order to offset high input costs.
Commenting on the price hike, Mr. Jnaneswar Sen, Senior Vice-President (Marketing and Sales) Honda Cars India stated that the price increment is yet to be finalized. He added that the new prices will come into effect from April 1, 2014.
The price hike will encompass all car models by Honda in India such as the new City sedan, the Amaze compact sedan, the Brio hatchback and the CR-V SUV.
The decision also follows a reduction in prices by carmakers such as Maruti Suzuki and Hyundai in response to the excise duty cut by the Indian government in February 2014.
Honda is currently in the process of expanding its production capacity and has set up a new production plant at Tapukara (Rajasthan) raising its annual capacity to 2,40,000 units.