German luxury carmaker Mercedes-Benz announced on Friday that it will raise the prices of its vehicles starting January 1, 2025. The company said that prices would increase by 3 per cent. Mercedes cited rising costs and inflationary pressure. As well as the German company also mentioned high operating expenses as the main reasons behind this price hike. According to Mercedes-Benz India, the price increase for luxury cars in India will range from Rs 2 lakh to Rs 9 lakh.
Mercedes-Benz to Increase Prices Starting January 2025
Mercedes-Benz will raise the prices of its vehicles by 3 per cent starting January 1, 2025. The price of the Mercedes GLC Class will increase by Rs 2 lakh, while the price of the Mercedes Maybach S 680 Luxury Limousine will go up by Rs 9 lakh.
Reasons Behind the Price Increase
Santosh Iyer, CEO and Managing Director of Mercedes-Benz India explained the reasons for the price hike. He said, “For the last three quarters, we have faced increasing pressure on our cost structure.” This is the main reason behind the rising cost of raw materials, fluctuations in commodity prices, higher logistics costs, and inflation. To ensure business stability, the company has decided to increase prices slightly.
Mercedes-Benz Sales Surge in October 2024
The German-based Company saw a surprising sales boost in October 2024. The company sold 1,792 vehicles, a marked increase compared to 1,374 vehicles sold in the same month last year. In September 2024, they sold 1,308 vehicles.
BMW Sales in October 2024
Mercedes-Benz’s main competitor, BMW, sold 1,475 vehicles in October 2024, up from 1,165 vehicles in October 2023. While Mercedes saw a strong increase, BMW’s sales also grew during the same period.