Volkswagen to hike prices from January 2018
Friday, December 15, 2017
Editor Garipoint
Volkswagen India to hike prices by up to Rs 20,000 from January 2018

German carmaker Volkswagen has reported an expansion in prices across its product range by up to Rs 20,000, with the hike effectual from January 2018.

The company retails a large group of models in the country at present including the entry-level Volkswagen Polo, Ameo, Vento, Tiguan SUV and the recently launched Passat sedan. The price hike has been attributed to a range of reasons including several economic factors as well global commodity price fluctuations and local input cost.

Commenting on the announcement, Volkswagen Passenger Cars - Director, Steffen Knapp said, "The price increase is essential on account of several external economic factors as well as fluctuations in the global commodity price and local input cost and is in line with the industry. The impact will be across the product range in India." The increase in cost will be put into impact across the Volkswagen portfolio in India, the extent of hike depending on the model, Volkswagen said in a statement.

Earlier, Fiat Chrysler Automobiles (FCA) India reported that it will hike the price of Jeep Compass by Rs 80,000 from January. The price rise will cover all trims of the premium SUV, except the entry-level variant.

It is a general practice by the makers to grow the costs of their product at the turn of the calendar year. This is generally done to compensate for the poor sale at the end of the calendar year. The end of the financial year within the next few months likewise tends to affect the manufacturers to transform the prices of their portfolio.