Assemblers of two-wheelers have raised prices by Rs5,000-25,000 due to rupee depreciation and costly raw materials.
It is observed that assemblers act quickly in raising prices whenever the rupee loses its value against the dollar, however, they hesitate to reduce when the local currency appreciates.
According to the announcement made by Atlas Honda Ltd (AHL), the new prices of Honda CD-70, CD-70 Dream, Pridor, CG125, CG125S, CB125F, CB150F and CB150F (Silver) are Rs144,900, Rs155,500, Rs190,500, Rs214,900, Rs255,900, Rs350,900, Rs443,900 and Rs447,900, showing a jump of Rs7,000-25,000.
N.J. Auto Industries Private Ltd has made a price hike of Rs6,100-7,000 in 70cc to 200cc bikes effective from March 8.
Similarly, United Auto Industries, the country’s second-largest bike maker, raised prices by Rs6,000-15,000 in the 70-125cc segment effective from March 7.
Road Prince, maker of bikes and rickshaws, increased prices of 70cc to 150cc bikes by Rs 5,000-15,000 from March 7.
Likewise, Razzy Motor Industries lifted the prices on 70cc to 125cc High Speed bikes by Rs6,000-10,000 from March 8.
Meanwhile, overall bike sales remained flat in the first seven months as unprecedented inflation has squeezed buying power consumers.
Agriauto Industries Ltd (AIL), in a stock filing on March 2, said it would observe a partial shutdown in March due to a reduction in production volumes of its major customers.