Maruti Suzuki Eyes Price Hike Amid Rising Commodity Costs

India’s largest carmaker, Maruti Suzuki India, has indicated that it may review vehicle prices in the coming months as input costs rise, even as demand remains strong following GST rate changes and robust market sentiment, as per PTI report. 

Bookings Surge and Order Backlog Builds 

Senior Executive Officer (Marketing & Sales) Partho Banerjee said the company is witnessing heavy demand, with 2.78 lakh bookings recorded in January alone. However, production constraints have led to a pending order book of about 1.75 lakh vehicles. 

He noted that January total sales reached a record 2,36,963 units, while exports touched an all-time monthly high of 51,020 units. The newly launched SUV Victoris has crossed 50,000 units in 5 months, reflecting strong customer response. 

Commodity Inflation Pressures Margins 

Banerjee said commodity prices especially precious metals, have risen sharply, increasing input cost pressures. He stated that the company is closely tracking global and geopolitical developments while evaluating pricing decisions. 

He added that internal teams are working to absorb as much of the cost increase as possible, but beyond a certain level, part of the burden may have to be passed on to customers. 

Customer Protection and Capacity Expansion Plans 

The company has introduced a January price protection scheme for customers who have already booked vehicles but are awaiting delivery, ensuring no price increase for those orders. 

Banerjee said production constraints may continue for a few more months until fresh capacity comes online. The 2nd plant at Kharkhoda in Haryana is expected to start operations by April 2026, followed by a 4th production line in Gujarat, together adding about 5 lakh units of annual capacity. 

He also said the electric SUV e-Vitara is set to launch in the domestic market this month, with dispatches already underway. 

Read More: Maruti Suzuki Signals Continued Production Limits Amid Strong Export Growth! 

Maruti Suzuki Share Price Performance  

As of February 03, 2025, at 11:55 AM, Maruti Suzuki share price is trading at ₹14,764 per share, reflecting a surge of 2.64% from the previous closing price.  

Conclusion 

Strong bookings and record sales are supporting momentum for Maruti Suzuki, but sustained commodity inflation could lead to calibrated vehicle price revisions ahead. 

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