Maruti Suzuki raised the prices of all of its passenger car models, and it might raise prices once more in the days to come.
Maruti Suzuki India’s Executive Officer (Corporate Affairs), Rahul Bharti, recently hinted during an analyst call that the next price hike may come in the wake of the Red Sea crisis.
The last price hike was announced in the Indian market due to rising production costs resulting from rising raw material prices, according to news agency PTI.
A crisis has been escalating in the Red Sea region ever since Israel and Hamas began their conflict last year. Just a few days ago, Audi India hinted that the militants in the area have been attacking several container ships, which has been affecting the automotive supply chain. Now, Maruti Suzuki has acknowledged that the crisis is posing difficulties for them as well, as reported by Hindutan Times.
The Red Sea crisis is causing the car company to face some logistical challenges, according to the Maruti Suzuki official.
“We are seeing some logistical challenges because of the Red Sea issue. And there may be some increase in costs because of risk or because of rerouting of vessels but it should not be significant,” Maruti Suzuki India’s Executive Officer (Corporate Affairs), Bharti reportedly said.
He stated that the lead time for dispatches may change, and there may be some uncertainty in vessels arriving and picking up their consignments, among other things.
Maruti Suzuki India’s Executive Officer (Corporate Affairs), Bharti added that this is a minor issue that occurs frequently in the export industry. However, he also stated that the company does not anticipate the issue having a significant impact on the automaker’s international shipments.
Maruti Suzuki is one of India’s leading passenger vehicle exporters. In 2023, the automaker exported approximately 2.7 lakh made-in-India passenger vehicles to global markets. The automaker plans to export at least 7.5 lakh passenger vehicles to foreign markets by the end of the decade.
Additionally, Maruti Suzuki India’s Executive Officer (Corporate Affairs), Bharti disclosed during the analyst call that Maruti Suzuki is preparing to start producing its first battery-electric vehicle in 2024. The company’s first electric vehicle will be a mid-sized SUV based on the eVX concept, which was first shown at the Auto Expo 2023 in February of last year and again at the just-ended Bharat Global Mobility Expo 2024.
According to a Maruti Suzuki official, the EV will be exported to Japan and Europe in addition to the domestic market.
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