BMW, Mercedes-Benz and Audi to Raise Prices by up to 2% from April 1—Here's Why

Luxury car buyers in India are in for a more expensive ride starting April 1, as Germany's three biggest premium automakers, BMW, Mercedes-Benz and Audi, have all announced price hikes of up to 2% across their model ranges.

The increases will apply across portfolios, covering both locally manufactured vehicles and completely built units (CBUs), depending on the brand.

The primary drivers behind the hikes are rising input and logistics costs, along with the Indian rupee's sustained depreciation against the Euro. The currency has been trading above the ₹100 mark in recent months, making imported components and CBUs significantly more expensive for luxury carmakers.

BMW

BMW will increase prices by up to 2% across its BMW and Mini range from April 1, covering both locally produced and imported models.

Hardeep Singh Brar, President and CEO of BMW Group India, said the hike was necessary to offset escalating logistics, material costs, and a weakening rupee. "This recalibration ensures we continue to deliver the uncompromising performance, cutting-edge innovation, and world-class service that our customers expect," he added.

Mercedes-Benz

Mercedes-Benz has announced a price correction of around 2% across its portfolio, also effective April 1.

Brendon Sissing, Vice President of Sales & Marketing, attributed the decision primarily to forex volatility and rising input costs. "While we always strive to absorb cost pressures, some price adjustment becomes necessary to maintain business sustainability," he said, adding that the company remains focused on minimising the impact on customers.

Audi

Audi India was the first of the three to announce its decision, with the brand confirming a price increase of up to 2% on ex-showroom prices from April 1, citing rising input costs and currency fluctuations.

Balbir Singh Dhillon, Brand Director of Audi India, said, "We remain committed to minimising the impact of the price hike on our customers."

This follows the December price hike announcements made by several car manufacturers in India. Automakers like Hyundai Motor India, JSW MG Motor, Renault India, Nissan Motor India had said that they will increase the prices of their vehicles from January this year.

During that time most of them blamed rising raw material prices, higher logistics costs, and overall operational expenses as key factors for the decision.

Such price hikes are usually part of annual revisions undertaken by automakers and they increase prices twice a year, once in January and then in April.