On Tuesday, the German car manufacturing company, Volkswagen said that “It will hike prices of hatchback Polo and mid-sized sedan Vento by up to 3 per cent from September 1.” The upward revision in prices has been undertaken because of the rising input costs, Volkswagen Passenger Cars India, averred in a press said the release.
Volkswagen Passenger Cars India has planned to raise the prices of its manufactured cars with effect from September 1. This will be initiated for its flagship models: Polo and Vento, due to its amplified input costs. The company further added, “The price revision will be up to 3 per cent and 2 per cent across the variants of Polo and Vento, respectively.”
The hike in prices will allow the company to settle input costs that include raw materials, miscellaneous costs, marginal costs (labour, machinery etc.) and operating expenses. However, Volkswagen is not the sole car manufacturer that is propelled to increase prices to cover input costs in India. Many other automobile units in India have presented price hikes in the market; they include Maruti Suzuki, Tata Motors, Mahindra, Renault and Hyundai. According to the latest data, these carmakers have altered and doubled their price thresholds multiple times in the ongoing fiscal year of 2021.