InvestorQ : Why is Hero Moto planning to hike the price of most of its two wheelers. Do you see other auto companies also hiking prices?
Dawn Cherian made post

Why is Hero Moto planning to hike the price of most of its two wheelers. Do you see other auto companies also hiking prices?

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Mitali Bhutta answered.
3 months ago
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Most of the auto companies have been facing pressure from rising input costs in the last few months as the price of steel, aluminium and copper have gone up sharply. This has compelled the auto companies to hike the price of

Hero Motocorp will increase prices of all its vehicles by up to a maximum of Rs.1,500 per vehicle effective from 01 Jan 2021. The actual extent of the hike may vary depending on the base price of the model. The hike in price is essentially purported to offset the impact of rising input costs; which have gone up very sharply in last one year.

Hero Moto is not alone in this price hike decision. Other auto manufacturers like Maruti Suzuki, Ford India and Mahindra and Mahindra have already declared their intent to hike prices. Most auto companies are going through this quandary of being unable to handle higher input costs. This will partially offset the impact of input costs going through roof.

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