The recession in the Indian car market is not hidden anymore. The present crisis of the Indian economy has shattered almost every sector, including the automobile sector too. The fall in the value of rupee is seen on a constant basis, this has led to the sudden rise in the prices of products across the nation.
This has majorly impacted that the rise in price of car producers, propelling them to increase the prices of the coupe to meet the minimal profit margins. Just few days back, Chevrolet, Mercedes-Benz and Japanese automotive producer Toyota and Audi have increased the prices of their coupe segment. As per the recent news, Toyota Kirloskar Ltd is finally going to increases the cost of its SUV segment Fortuner and Hybrid Sedan range Camry by at least 1%.
The trade analysts have found a number of reasons why the foreign car makers have increased their coupe costs in India. Although most of the non-Indian car producers have their manufacturing plants set in India, but companies still have a lot of their components imported from various nations. And, the continuous falling value of the Indian currency has eventually let the increase in price for the car manufacturers.
Another great reason involved in the price hiking of cars is that many companies in the automotive industry ship the coupes as CBU and this promptly forces them to raise the price of the cars. Same is the case with Toyota’s Camry Hybrid and SUV segment Fortuner; the brand relies mainly on its global imports that have deliberately forced Toyota to increase the price of both these coupes.
According to reports, the Indian subsidiary of the Japanese car producer imports few components of these two coupes and assembles the coupe in India. The statistical reports suggest that the price of Toyota Fortuner will show a rise of INR 22000 while the Camry Hybrid will be charged INR 25000 higher than the its previous price.
The MD and CEO of the Toyota Kirloskar Motors Marketing Commercial section, Mr. Sandeep Singh declared that the reasons because of which Toyota have forcibly increased the price of Camry Hybrid and Fortuner. With depreciated value of rupee and sudden rise in inflation, the company has increased the price of Fortuner and Camry Petrol. The cost of both the cars will show an increment of 1%.
It must be seen that in the previous months, there hasn’t been any boom or innovation in the Indian automotive industry as every car company is experiencing constant decrement in its sales. Another major reason for the present downfall in the car industry is the economic crisis in the nation. This has led to the rise in interest rates and worsened the situation for the automotive companies. Car manufacturers have been continuously making efforts to fight out the poor sale figures and slow development of the sector. The festive season will surely get some good news for the car makers.
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I am into the auto blogs field for quite a long time. Living my passion of reviewing cars.
Tagged: Toyota Camry Hybrid, Toyota Fortuner
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