Nissan to raise prices next month

Says price hike will offset rising input costs and increase in logistics and transportation costs due to soaring fuel prices

Nissan Motor India, the subsidiary of Nissan Motor Company, has announced a price increase on selected models which would come into effect next month.

The company is doing this to offset the rising input costs and increase in logistics and transportation costs due to soaring fuel prices. The company, however, declined to specify the quantum of the hike.

While the recently launched Nissan Evalia multi utility vehicle will not be affected, Nissan will raise the purchase price of the premium hatchback Micra and mid-size Sunny sedan with effect from November 1, 2012.

Nitish Tipnis, Director, Sales & Marketing, Hover Automotive India said, “The prices are being revised to partially offset appreciation in input and transportation costs. While all leading automobile companies raised prices earlier this year, we at Nissan absorbed rising input costs and held back the price hike.”

Nissan in India offers innovative and exciting products across hatchback, sports, SUV and sedan segments. It has three locally produced car models - Micra, Sunny and the newly launched Evalia.

Nissan's competitors like Hyundai, Maruti Suzuki, Honda Car India and General Motors have already announced a price hike. The hike comes against the back drop of companies offering discounts of up to 15% of the value of the vehicle to clear dealer inventories.

Nissan’s year-on-year sales in India more than doubled to 33,000 units in fiscal 2011 and it plans to continue the two-fold increase in sales in the current financial year, to achieve its target of 100,000 units by 2013. To support the sales growth, Nissan is expanding its dealer network from 75 dealers at present to 95 dealers by end of the current financial year.