MG Motor India to hike car prices by 2%
What's the story
JSW MG Motor India has announced a price hike of up to 2% on its entire vehicle range, effective January 1, 2026. The company said the increase will differ based on model and variant. The decision comes as part of the company's effort to offset rising input costs and other macroeconomic factors affecting its operations.
Market response
Price hike aligns with industry trends
The price hike by JSW MG Motor India comes in line with a wider industry trend. Luxury carmakers such as Mercedes-Benz India and BMW have also announced their plans to increase prices from January 2026. BYD India has also confirmed a price hike effective from the same month. Other automakers including Hyundai, Honda, and Skoda have already announced vehicle price increases of 2-3% due to rising input costs and operational expenses.
Future considerations
Mahindra's stance on future price hikes
While Mahindra has ruled out a routine price hike for January 2026, the company has not completely ruled out future increases. This is especially true if raw material costs witness a significant spike. The decision reflects the company's cautious approach to pricing in response to fluctuating market conditions and input costs.
Company profile
JSW MG Motor India's operations and future plans
JSW MG Motor India is a joint venture between SAIC Motor and JSW Group. The company has a manufacturing facility in Halol, Gujarat, with an annual production capacity of over 100,000 vehicles. It directly and indirectly employs around 6,000 people. Despite lagging car sales in recent months, the company is banking on its updated MG Hector SUV to drive sales growth in the new year.