Tata Motors hikes car prices

Auto major Tata Motors today said it had increased prices of its passenger vehicles, including the Nano, by up to Rs35,000 with immediate effect due to the excise duty hike in the budget for 2012-13.

PTI quoted a Tata Motors spokesperson, as saying that the company had raised the prices as per the excise duty hike in the budget. He added, in passenger cars, the increase would vary between Rs2,000 and Rs8,000 depending on various models.

Under the passenger car division, the company's offerings include the small car Nano, hatchback Indica series and Indigo family of sedans, but it did not specify the model-wise breakup of the price increase.

The report said in case of utility vehicles like Safari, Aria and Sumo, the hike would be from Rs8,000 to Rs35,000, he added.

The company will also pass on the additional burden of 2 per cent service tax hike to its commercial vehicle buyers.

Finance minister Pranab Mukherjee had proposed increase of excise duty to 12 per cent from 10 per cent.