Stories
Mahindra & Mahindra Weighs SUV Price Hike Amid Rising Commodity Costs
- •Mahindra & Mahindra is considering another price increase across its SUV portfolio due to recent commodity price hikes, with a decision expected within weeks.
- •The company has already implemented three price increases this year in January, April, and July, with the July hike being approximately 2.7% on SUVs.
- •Despite price adjustments, customer inquiries and bookings remain strong, as vehicle prices are still below pre-GST levels.
- •Mahindra anticipates a robust festive season for the auto industry, driven by competitive pricing and a refreshed product portfolio.
- •The company remains focused on electric vehicles (EVs) and plans significant capacity expansions for both ICE and EV production by early April, alongside new product launches.
Key Questions Answered
Mahindra & Mahindra is weighing another price increase across its SUV portfolio due to rising commodity costs, with a final decision expected within a couple of weeks. The company has already implemented three price hikes this year in January, April, and July, with the July hike raising SUV prices by about 2.7 per cent.
Recent industry price increases have not negatively affected customer inquiries or bookings. Demand remains quite intact and robust because vehicle prices are still well below pre-GST levels, supported by a refreshed product portfolio.
Mahindra currently has about 60,000 units of monthly ICE capacity and 8,000 units of EV capacity, which will increase by the end of March or early April to reach a total of 84,000 units. Additionally, the company has several product refreshes and two major launches planned over the next two quarters, featuring one major launch on the ICE side and one on the EV side.
