Mercedes to hike vehicle prices by up to 2% to offset impact of weakening rupee

admin — Fri, 12 Dec 2025 09:31:00 +0000

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| Photo Credit: Getty Images/iStock Photos

Mercedes-Benz India on Friday (December 12, 2025) said it will hike vehicle prices by up to 2% from January in order to offset the impact of weakening rupee value against the euro.

The price correction, capped at 2%, reflects sustained forex pressures that have characterised the luxury automotive landscape throughout 2025, the luxury car market leader said in a statement.

“Currency headwinds have persisted longer than we anticipated this year, with the euro consistently trading over the ₹100 mark. This prolonged volatility affects every aspect of our operations, from imported components for local production to completely built units,” Mercedes-Benz India MD and CEO Santosh Iyer said.

The currency environment has created substantial cost pressures across the supply chain, affecting both imported components for local assembly, as well as import of CBU (Completely Built Vehicles), the Pune-based automaker said.

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Despite the company’s aggressive localisation strategy, which continues to absorb the bulk of increased costs, a selective price adjustment has become essential to maintain operational sustainability, it added.

Rise in input costs, commodity prices, and increased logistical expenses, in combination with inflationary pressures, have been creating significant pressure on the company’s net profit, necessitating a price correction, the company said.

“Thanks to RBI’s continuous repo rate reduction, enabling Mercedes-Benz Financial Services to pass on the benefits to end customers, thereby mitigating the price increase effect to a large extent,” Mr. Iyer stated.

On Thursday (December 11), BMW India announced that it mulls hiking vehicle prices from January as the Indian rupee weakens against the euro.

Published – December 12, 2025 03:01 pm IST

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Mercedes-Benz India to increase prices by up to 3% from January 2025

admin — Fri, 15 Nov 2024 10:59:13 +0000

Mercedes-Benz India (MBI) has announced to increase in prices of L by up to 3%. File
| Photo Credit: Special Arrangement

Mercedes-Benz India (MBI) has announced to increase prices of ‘L’ by up to 3% for its entire model range in the portfolio, effective from January 1, 2025.

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“Increased commodity prices and higher logistics expenses driven by persistent inflationary pressures has posed significant strain on MBI’s overall operational costs,” the company said in a statement.

This price correction will offset some of the cost pressure to run a sustainable business, it added.

The price correction will apply to those vehicles which currently are not in stock, offering a price hike for all existing and future bookings until 31st December 2024.

Prices of Mercedes-Benz cars will be revised in the range of ₹2 lakhs for the GLC to ₹9 lakhs for the top-end Mercedes-Maybach S 680 luxury limousine, the company said.

“Over the past three quarters, we have been facing increased pressure on our cost structure primarily driven by escalating material cost, fluctuating commodity pricing, increased logistics expenses and inflationary cost,” said Santosh Iyer, Managing Director & CEO, Mercedes-Benz India.

“While we have been absorbing these cost pressures by optimizing our operational costs and driving higher efficiencies, the overall bottom line is getting impacted, considering the current challenges. To ensure the sustainability of our business we have decided for a nominal price correction,” he added.

Published – November 15, 2024 04:29 pm IST

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Mercedes price hike – Artifex.News

Mercedes to hike vehicle prices by up to 2% to offset impact of weakening rupee

Mercedes-Benz India to increase prices by up to 3% from January 2025