New Delhi/Mumbai– Automobile companies on Monday said they will hike the prices of their vehicles effective January 1, 2018.

According to Tata Motors, it will increase the prices of its entire passenger vehicle range by up to Rs 25,000, starting from January, due to rising input costs.

“The changing market conditions, rising input costs and various external economic factors have compelled us to consider the price increase,” said Mayank Pareek, President, Passenger Vehicle Business, Tata Motors.

“We are optimistic on maintaining our growth trajectory in the coming year on the back of our robust product portfolio like TIAGO, HEXA, TIGOR and the recently launched NEXON,” he said.

The statement said the introductory prices of the recently launched lifestyle compact SUV, NEXON, which comes with Level NEX design, performance and technology features, will be ending by December 31. This entire range will also witness a price hike by up to Rs 25,000.

Another automobile manufacturer Ford India said that it will increase the prices of all its vehicles by up to 4 per cent from January 1, 2018, to partially offset the impact of rising input costs.

“The price increase is necessary due to several external factors, such as frequent fluctuations in commodity prices and rising input and freight costs,” said Vinay Raina, Executive Director Marketing, Sales and Service at Ford India.

“We have tried to minimise the impact on our customers by absorbing a large part of these incremental costs and capping the price hike to 4 per cent.” (IANS)