Audi hikes prices by up to 14%

Luxury car maker Audi has raised prices of its entire range of products in India by up to 14% due to hike in excise and customs duties in the Budget.

"While the Fully Built Units (FBU) have seen an increase of 13 to 14%, the Audi models which are locally produced in India have increased by 3.4-3.7%," Audi India said in a statement today.

While the company has not given a complete break-up of the price hike across all the models that it sells in India, it said the A7 Sportback price will start at Rs 66.04 lakh and that of the RS5 at Rs 85.95 lakh (Ex-showroom, Delhi).

Besides, models like A4 is now priced at Rs 30.6 lakh, it added.

Last week, another premium car maker Mercedes-Benz had announced to hike the prices of its entire range of vehicles by an average of about Rs 3 lakh following the duty increases.

Finance Minister Pranab Mukherjee had proposed to hike the excise duty to 12% from 10% earlier.

In the Budget excise duty on cars have been also increased. Petrol cars with engines under 1,200 cc and diesel cars with engine capacity under 1,500 cc, but the length exceeding four metres to 24% from 22% and a fixed duty of Rs 15,000.

Petrol and diesel driven vehicles having length exceeding four metres and engine capacity of over 1,200 cc and 1,500 cc respectively will now be charged with an ad valorem duty of 27%, instead of the earlier 22% and a fixed duty of Rs 15,000.

Mukherjee also announced hiking the basic customs duty on imported vehicles valued over USD 40,000 and with engine capacity of over 3,000 cc and 2,500 cc for petrol and diesel driven vehicles respectively to 75% from 60%.