28 September,2026 09:47 AM IST | Mumbai | mid-day online correspondent
Representational Image. File pic.
Amid the rising commodity costs, home-grown auto major Mahindra & Mahindra has said it is weighing another price increase across its sports utility vehicle (SUV) portfolio, reported news agency PTI.
"We'll probably take a call in the next couple of weeks on whether we need a price increase... I can't say we will or we won't, but it's something we're looking at closely, given the recent price increases on commodities," CEO Automotive Division, Mahindra Group Nalinikanth Gollagunta told PTI.
"We're watching it very closely. As you know, we've already taken three increases, one in January, one in April, and a fairly significant one in July, about 2.7 per cent on SUVs. That said, it's something that can be very dynamic, so we continue to watch it," he added.
Auto makers have been grappling with the higher input costs and passenger vehicle segment has witnessed multiple rate hikes this year. Car makers such as Maruti Suzuki and Tata Motors Passenger Vehicles have undertaken multiple price hikes in the recent months.
However, Gollagunta said the recent price increases across the auto industry have not affected customer inquiries or bookings, as the vehicles are still priced below pre-GST levels.
"We're still well below pre-GST prices, so demand continues to be quite intact and robust at this point," Gollagunta said.
Mahindra & Mahindra had reported a 42 per cent jump in total vehicle sales to 1,07,648 units in August compared with the same month last year, driven by SUV sales.
He expects a strong demand during the festive season for both the company and the industry, supported by prices remaining below pre-GST (Goods and Services Tax) levels and a refreshed product portfolio.
"Festive should be very good for us, and across the industry, for a couple of reasons. We've had inflationary pressures, but the reality is the GST price cuts from last year are holding us all well below pre-GST prices, even with the inflationary price increases we've made over the past year or so," he said.
The company remains focused on electric vehicles (EV) given the benefits but would adapt if the regulatory environment changes, according to Gollagunta.
"We're very clear in our minds. EV is the end state the country is heading towards, and that's also what the government has made clear to the industry. If you look at the CAFE (Corporate Average Fuel Efficiency) norms, there's a very clear differentiation between the benefits given to an EV versus a hybrid. So our focus is on EVs to that extent. If the regulatory environment changes, we have the ability to adapt, but at this point our focus is primarily on EVs," he shared.
On capacity, Gollagunta said the company will increase its vehicle capacity by approximately 14,000 by March or April.
Mahindra currently has about 60,000 units of monthly ICE (internal combustion engine) capacity and about 8,000 units of EV (electric vehicle) capacity, and is largely delivering to those levels.
"The next set of capacity increases will happen at the end of March, early April. The 60,000 ICE capacity will go to 70,000, and the EV capacity of 8,000 will go to 12,000. So, where we are now, we're at 68,000, and we'll go to 84,000 in about six months," he said.
Mahindra & Mahindra has planned two major launches over the next two quarters , and plans a couple of product refreshes.
"We'll have a set of refreshes coming. Some of this we've already talked about. We have about five (product) refreshes; a few have already happened, and two or three more are coming up. Other than that, we have two major launches coming within the next couple of quarters. That's also why we've added the capacity. We'll have one major launch on the ICE side and one major launch on the EV side, both happening within the next two quarters," he said.
(With inputs from PTI)
