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BMW, Merc to become costlier from New Year

Financial Express Chandigarh

|

December 13, 2025

BMWAND MERCEDES-BENZ, India’s two biggest luxury automakers, will raise prices by as much as 3% and 2% respectively across their portfolios from January 1, 2026, as prolonged currency volatility and rising operating expenses squeeze margins.

- AKBAR MERCHANT

Mercedes-Benz India said the increase, capped at 2%, has been kept “as nominal as possible” amid mounting pressure on its cost structure. The euro held above €100 through 2025—a sharp break from historical levels — inflating the cost of imported components and fully built units. Elevated commodity prices, higher logistics charges and persistent inflation have added to the strain.

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