Automobile manufacturer Tata Motors will increase prices across its commercial vehicle range, effective from January 1, 2021.
According to the company, the steady rise in material and other input costs, impact of forex and transition to BS6 norms, have cumulatively escalated the cost of manufacturing vehicles.
"The company had thus far been absorbing the addition in costs but with their steady rise in line with market trend, it has become imperative to pass at least some portion of the cost increase to customers via appropriate price revisions," the company said in a statement on Monday.
"The price increase is expected across the portfolio of M&HCV, I&LCV, SCV and Buses."
In addition, the company said actual change in price will depend on individual model, variant and fuel type. Last week, Tata Motors said it would buy the 49 per cent stakes of Marcopolo S.A. in the bus and coach making joint venture Tata Marcopolo Motors Ltd for Rs 99.96 crore.
In a regulatory filing, Tata Motors said that as a consequence of its refreshed business strategy, Marcopolo S.A has decided to exit from the joint venture and offered to sell its 49 per cent shareholding in Rs 170 crore capital Tata Marcopolo to it.
According to Tata Motors, the two companies have entered into a share purchase agreement whereby the former will purchase the balance 49 per cent shareholding in Tata Marcopolo for a cash consideration of Rs 99.96 crore.