Maruti Suzuki mulls price hike on small cars after strategic cuts

Maruti Suzuki India is set to take a decision shortly on whether to raise prices of its entry-level cars, after having implemented steep price reductions last year that went beyond the benefits of the revised Goods and Services Tax regime, a senior company executive said on Thursday. (As reported by PTI)

Following the rollout of GST 2.0 in September last year, Maruti Suzuki had slashed prices across several small car models to boost affordability. The cuts included reductions of up to ₹1.29 lakh on the S-Presso, ₹1.07 lakh on the Alto K10, ₹94,100 on the Celerio, and up to ₹79,600 on the WagonR, among others.

Maruti Suzuki India Senior Executive Officer (Marketing and Sales) Partho Banerjee said the aggressive pricing was aimed at driving higher vehicle ownership in the entry-level segment. Responding to questions on potential price hikes, he said the company is evaluating whether to roll back to prices reflecting only the lower GST rates or continue with the deeper strategic discounts.

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Banerjee noted that the decision is also linked to pending customer bookings. According to the company, waiting periods in the mini car segment currently exceed one-and-a-half months, even after recording a 100 per cent growth in sales volumes in the segment during the current month.

“The question is whether customers who have already booked vehicles should be billed at prices valid till December 31,” Banerjee said, adding that Maruti Suzuki is considering extending current prices for another 15 to 20 days for existing bookings. A final decision is expected soon, particularly as the company’s manufacturing plants are currently shut for annual maintenance.

Separately, Maruti Suzuki India reported its highest-ever annual exports in 2025, shipping 3.95 lakh vehicles overseas, a year-on-year increase of over 21 per cent compared with 2024. The performance is expected to make Maruti Suzuki India the country’s largest passenger vehicle exporter for the fifth consecutive year.

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Calling the milestone a significant achievement, Managing Director and CEO Hisashi Takeuchi said the export growth reflects India’s manufacturing capabilities and the global trust in the company’s products. He added that sustaining export momentum during a period of global trade uncertainty was a meaningful contribution to the country’s economy.

During 2025, Maruti Suzuki exported 18 models to more than 100 markets. The year also marked the start of overseas shipments of Suzuki’s first battery electric vehicle, the e VITARA, from its Hansalpur facility, with over 13,000 units sent to 29 countries, largely across Europe.