Prices of trucks in India are expected to fall by Rs 15,000-100,000 if makers pass on the entire benefit to customers, according to the Economic Times.
Hybrid vehicles and three wheelers ferrying goods could also be cheaper by up to Rs 28,000 and Rs 6,000, respectively, on their ex-showroom prices. Prices of small cars, sedans and two wheelers will remain unchanged, the report said.
Tata Motors, the largest truck maker, may reduce prices by up to Rs 50,000. Vice-president (sales and marketing) Ravi Pisharody said, “The rate cut will help boost demand.”
Eicher Motors chairman S Sandilya said, “The third stimulus will boost demand for commercial vehicles facing declining sales. The further cut in excise duty will improve the financial position of truck makers who are under severe constraint.”
Ashok Leyland has also announced a price reduction which will come into effect in the next few days. “We are looking at a cut of Rs 15,000-35,000 for our trucks. The exact quantum of changes will be announced shortly,” the company spokesperson told the ET
The report added that truck sales fell 72% to 6,491 units in January and commercial vehicle makers have been lobbying the government to cut taxes.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
