Mercedes-Benz India Plans Quarterly Price Hikes in 2026

Mercedes-Benz India is reviewing plans to raise vehicle prices every quarter in calendar year 2026 as a way to manage the impact of a weaker rupee against the euro, as per PTI report.  

The company said the consideration follows sustained currency pressure rather than a one-off movement in exchange rates. 

1st Hike Announced from January 

The luxury carmaker has already announced a price increase of up to 2% across its range starting January 1, 2026. This will be the 1st revision next year, with further increases expected to be evaluated on a quarterly basis. 

Euro-Rupee Rate Remains Elevated 

The company pointed to the sharp change in the euro-rupee exchange rate over the past 18 months. The rupee traded at around ₹89 to a euro during that period. It has since weakened to roughly ₹104-105, implying a depreciation of about 15-18%. 

Through 2025, the euro has stayed above the ₹100 level, which the company said is well above earlier averages and has added to cost pressures. 

Currency Impact 

Mercedes-Benz India said the January price increase does not fully reflect the impact of the rupee’s decline. According to the company, there remains a gap of around 10-15% between the increase in costs due to currency movement and the price hikes announced so far. 

To address this difference, the company is considering spreading price increases over several quarters instead of implementing a single large revision. 

Likely Scale of Quarterly Increases 

While the company has not finalised the exact size of each quarterly hike, it indicated that individual increases could be around 2%. The final decision will depend on how the rupee moves against the euro and how costs evolve during 2026. 

No further details were shared on whether specific models or segments would see higher increases. 

Statement Made at Industry Event 

The comments were made by Managing Director and CEO Santosh Iyer during the launch of the FICCI Mercedes-Benz Bharat Innovation business ideas challenge programme. The company did not outline a detailed pricing schedule beyond the January increase. 

Read More: Tata Motors Finance to Settle Case with SEBI by Paying ₹32 Lakh! 

Conclusion 

Mercedes-Benz India’s review of quarterly price hikes in 2026 follows a prolonged period of rupee depreciation against the euro. The approach is for gradually covering currency-related cost increases over the year. 

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