Tata Motors to hike prices of all its models

After the announcement from Toyota of price hike across its models, we were wondering which automaker would follow and it turned out to be Tata Motors. Tata is going to hike the prices of cars across its line-up in the range of Rs 5,000-25,000 from January 2017. This announcement comes at a time when not only the popularity of the Tiago is growing but the Tata's premium SUV, the Hexa is also scheduled for launch next month.

This is what the president of passenger vehicle business at Tata Motors, Mayank Pareek, had to say about the price hike: "The increase in prices of raw material commodities like steel, aluminium, copper and rubber over a period of time has put a lot of pressure on us and, as a result, we are forced to hike prices of our passenger vehicles. We are seeing good demand for our cars and have witnessed month-on-month growth owing to the Tiago. We are gearing up for the launch of the Hexa in January 2017."

It is tough to predict by how much the price of cars like the Tiago and the Hexa will go up. Considering that these two are young products in Tata's line-up, the automaker may increase their prices by Rs 10,000 to 15,000. Also, since the Nano has been a huge failure and return on investment on the car has not been high, Tata might increase the prices of the Nano the most. However, that is just us speculating and nothing more. With the effects of demonetisation wearing off, the reaction of customers to the price hike will be worth looking at. Do you think Tata Motors hiking the prices of its cars is worth it? Which automaker will hike the prices of its cars next? Please feel free to sound your opinion in the comments below. For more news, stay tuned to ZigWheels.

Source: ZigWheels.com