Shop as much as you can this year, because from next year you might not get these deals and offers again. As increment in car prices are already announced by Toyota. Hike in price is a result of higher manufacturing cost and
inflating foreign exchange rates.
This year witnessed a downfall because of demonetisation too.
Commodities like steel, aluminium, copper and rubber are essential components for the carmakers and the hike in its prices have increased their input cost. The inflation in foreign exchange rates isn't helping them either as the company has to import many parts from Japan.
N. Raja, Director and Senior Vice President, Marketing and Sales, Toyota Kirloskar Motor announced that , "There has been an increase in pricing of raw material commodities like steel, aluminium, copper and rubber over a period of the last six months and this puts a lot of pressure on us as all this has been leading to a higher input cost on our end. Another factor leading to higher input cost in our case is the appreciation of Yen in the international market which has increased the cost of parts that we import from Japan.
We do a periodic review of the prices of our products basis the above factors and take necessary actions. We have been absorbing all the additional costs till now thereby protecting our customers from the price increase. However, owing to continued pressure of high costs and foreign exchange rates remaining at high levels of above Rs 68 USD, we have been pressured to increase the cost of our products." Well let's see whether this hike in prices will affect the sales of Toyota in anyway.
