Tata Motors said the steady rise in material and other input costs(tata motors stock price), the impact of forex, and transition to BS6 norms, have cumulatively escalated the cost of manufacturing vehicles.

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After Hero MotoCorp and Mahindra, auto major Tata Motors on Monday (tata motors stock price) announced an increase in commercial vehicle prices from January 2021, citing a rise in material and other input costs. The Tata group company, in an exchange filing, said that there will be a price increase across its commercial vehicle range, effective January 01, 2021. Without specifying the range of the price hike, Tata Motors said that the actual change in price will depend on the individual model, variant, and fuel type.

The auto major said the steady rise in material and other input costs, the impact of forex, and transition to BS6 norms have cumulatively escalated the cost of manufacturing vehicles.  

"The company had thus far been absorbing the addition in costs but with their steady rise in line with the market trend, it has become imperative to pass at least some portion of the cost increase to customers via appropriate price revisions," it said in a filing to the BSE.  (tata motors stock price)

The price increase is expected across the portfolio of medium and heavy commercial vehicles (M&HCV), light commercial vehicles (LCV), small commercial vehicles (SCV) and buses, the company said.  (tata motors stock price)

Tata Motors said it will continue to offer (tata motors stock price) best in class value in each segment with low total cost of ownership and increasing profit potential for vehicle owners.

Tata Motors is a $35 billion global automobile (tata motors stock price) manufacturer of cars, utility vehicles, pick-ups, trucks and buses. It has operations in India, the UK, South Korea, Thailand, South Africa and Indonesia through a strong global network of 103 subsidiaries, 10 associate companies, 3 joint ventures and 2 joint operations as on March 31, 2020.