JSW MG Motor India and luxury automakers to hike prices in January
JSW MG Motor India has announced a price adjustment across its vehicle lineup, effective January 1, 2026. The hike will vary by model and variant, with increases of up to 2%.
JSW MG Motor India announced on Thursday that it will increase vehicle prices by up to 2 per cent starting in January to offset rising input costs. The price adjustment, effective January 1, 2026, will vary depending on the specific model and variant. In a statement, the automaker attributed the hike to escalating input expenses and broader macroeconomic factors.
Just days after the company revealed the updated Hector model in India, this announcement has come to light. The new version has a fresh look with a modern grille, stylish new wheels, and an updated back bumper. Inside, the entertainment system has also been improved. One of the most notable changes is that the price has gone down by Rs 2.1 lakh compared to the previous model, making it a more attractive option for buyers.
Industry-wide trends
MG India is not alone in this move. Luxury carmakers Mercedes-Benz India and BMW have also announced plans to raise prices next month. BMW’s current Indian portfolio, which includes luxury sedans, SUVs, and electric vehicles, ranges from the 2 Series Gran Coupe at Rs 45.3 lakh to the XM at Rs 2.54 crore.
Hardeep Singh Brar, President and CEO of BMW India, highlighted the impact of currency volatility on their pricing strategy:
"Forex fluctuation is a major headwind. We anticipated the rupee to be around 93 to 95 against the Euro this year, but it has actually hovered between 103 and 105. This 10 per cent deterioration relative to our expectations puts immense pressure on our pricing and profitability".
Brar noted that while the company had not originally planned to raise prices—even with new GST rates—the weakening of the rupee has made current price levels unsustainable. "The Euro has been extremely unfavorable... we are being forced to consider this increase to protect our bottom line," he added.
Similarly, Mercedes-Benz India confirmed earlier this year that it would implement a price hike in early 2025 to counteract the impact of the weakened rupee against the Euro and the Dollar.
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