Hero Honda, Bajaj Auto cut 2-wheeler prices
10 December 2008
Close on the heels of pasenger car makers passing on the benefits of Sunday's excise reductions to customers (See: Maruti, Hyundai, Toyota, Mitsubishi, cut rates after excise cuts), two-wheeler makers Hero Honda and Bajaj Auto have reduced the prices of their two-wheelers between Rs1,000 and Rs2,100, depending upon the price and model, to pass on the benefit of duty cuts announced in the government stimulant.
Hero Honda Motors, the country's largest two-wheeler maker, has announced price cuts of its models between Rs1,000 and Rs2,000 but did not give any further details.
Rival Bajaj Auto has announced price cuts of up to Rs2,100 on its two-wheelers, and up to Rs4,400 on three-wheelers, following the reduction in the central value-added tax to a uniform 4 per cent.
"Bajaj Auto has passed on the benefit of the excise reduction in the CENVAT rate reduction to its customers. The prices have been reduced on vehicles billed to dealers with immediate effect," BAL said in a release.
The company also said it was in touch with dealers to "understand and resolve" the implications arising out of existing inventories with them.
TVS Motors, the other two-wheeler major, however, did not announce any plans for price cut so far.