Mahindra will increase the price of its range of personal vehicles by up to Rs. 36,000 across models. Mahindra’s price increase is owing to implementing AIS 145 Safety Norms across its passenger vehicle portfolio.
AIS 145 Safety Norms are mandatory from July 1, 2019. This requires much-needed fitment of several safety features. Safety features made mandatory include driver airbag, seat belt reminder for driver and co-driver, rear parking sensors and an over speed alert for the driver across all passenger vehicle models.
In regard to the price hike, Mahindra SUVs that will bear a substantial price increase include Scorpio, Bolero, TUV300 and KUV100 NXT. XUV500 and Marazzo price hikes in comparison will be marginal.
The Indian auto industry is bracing for big changes, and manufacturers have been working these last few years to adapt to mandates in a timely manner. Following the AIS 145 Safety Norms adaption next month, Indian manufacturers are revising engine tunes, and working on new tech to adapt to BSVI norms that are mandated from April 1, 2019, a mere 9 month from now.
So, while minimum safety norms will be a standard to be adhered to within the fortnight, one can look forward to lesser emissions next year onward. This paradigm shift though has come at a time when the industry is battling uncertainty.
Sales have stagnated owing to market conditions, and market development, which has prompted buyers to postpone buying decisions in the anticipation that BSVI vehicles are incoming.
Last month, saw the entire Indian auto industry domestic sales in the red, with Mahindra posting the least negative growth. This comes on the back of the company’s three new launches in the last fiscal – Marazzo, Alturas, and XUV300. Mahindra is also making important decisions regarding which vehicles it will carry forward in which engine permutations once BSVI norms are mandated.
Rajan Wadhera, President – Automotive Sector, M&M Ltd., “At Mahindra safety has been at the core of our product development process and we welcome the regulatory requirements relating to safety upgrades. We value every road user’s life and have been effectively contributing to the evolving safety ecosystem. However, the safety regulatory requirement has led to some cost increases. Consequently, we are taking a price hike across some of our passenger vehicles, effective July 1, 2019.”