Thanks to the recent Corporate Tax Rate Cut, Maruti has lowered the prices of some of its models including Ignis, Baleno Diesel, Swift Diesel and more.
To align with the government following the Corporate Tax rate cut, Maruti has successfully lowered the prices of some of its cars. The tax rate has been reduced from 30% to 22%, which will lower the production costs of a car.
Popular models like Maruti Alto 800, Alto K10, Swift Diesel, Celerio, Baleno Diesel, Ignis, Dzire Diesel, Tour S Diesel, Vitara Brezza and S-Cross see the price cut. All the variants of these models are now Rs 5,000 cheaper, going by the ex-showroom price.
As we all know, the auto sector is suffering miserably. This is happening just because of the unaffordability of a vehicle by an Indian buyer right now. For the past 6-7 months, many automakers are going through low sales, especially Maruti Suzuki.
With Maruti reducing its car prices, the manufacturer might see a slight improvement in the sales. Also, the festive season is upcoming, which is further expected to boost up the sales for all the automakers.
On the other hand, other automakers have also commented on the price cut. Toyota believes that there will be no immediate impact on the prices and is unlikely to reduce the prices of its cars.
Even Honda has hinted that it would not reduce the prices because they feel that their offers and incentives are enough to gather the attention. Lastly, Hyundai is another automaker that is reportedly looking for a possible price cut.
In other news, Maruti is going to expand its hatchback market with the upcoming S.Presso mini-SUV. It will be priced lower than the Maruti WagonR and will offer much more features than the Alto K10. The S.Presso is set to be launched next week and is likely to be priced starting off at Rs 3.6 Lakhs (ex-showroom).