TVS Motor will not hike prices next month

The prices for TVS Motor vehicles will not increase from next month. However, by April 2010, analysts believe that the consumer may have to spend more for TVS vehicles

India’s third largest two-wheeler maker TVS Motor Co Ltd has said that it is not going to increase prices despite rising steel costs. However, analysts believe that the company would increase prices from the next fiscal.

A senior official from TVS Motor said, “I don’t think that TVS Motors will increase the prices of its vehicles in January despite higher steel prices. However, the company may review prices in the next two-three months.”

Automakers are planning to go for price hikes in a phased manner—the first hike will be in January followed by another hike in April next year.

Analysts said that TVS Motor may not be affected by the current rise in steel prices because the company has contracts for steel supply till the first quarter of next year.

However, with the replacement of Bharat Stage Norms (BSN)-II by BSN-III in April 2010, the company may make the consumer spend more due to the improvement in its engines, the analyst said.

According to a PTI report, TVS Motor, which started exports of its three-wheelers a couple of months back, is also planning to venture into new markets like Bangladesh, Mexico, Peru and Guatemala.

"Our plan is to enter the diesel passenger market in the auto-rickshaw category of three-wheelers and we should be able to accomplish this within 18-24 months," HS Goindi, TVS Motor’s president for marketing told the media. The diesel three-wheeler will target the semi-urban and rural markets, he said, without disclosing details.

Mr Goindi said that the company had a presence in two-stroke and four-stroke engine segments in petrol, LPG and CNG variants.

According to data from the Society of Indian Automobile Manufacturers (SIAM), TVS Motor sold 11,36,344 units of two-wheelers in the domestic market in 2008-09.
 

  • Like this story? Get our top stories by email.

    User 

    We are listening!

    Solve the equation and enter in the Captcha field.
      Loading...
    Close

    To continue


    Please
    Sign Up or Sign In
    with

    Email
    Close

    To continue


    Please
    Sign Up or Sign In
    with

    Email

    BUY NOW

    online financial advisory
    Pathbreakers
    Pathbreakers 1 & Pathbreakers 2 contain deep insights, unknown facts and captivating events in the life of 51 top achievers, in their own words.
    online financia advisory
    The Scam
    28 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
    Moneylife Online Magazine
    Fiercely independent and pro-consumer information on personal finance
    financial magazines online
    Stockletters in 4 Flavours
    Outstanding research that beats mutual funds year after year
    financial magazines in india
    MAS: Complete Online Financial Advisory
    (Includes Moneylife Online Magazine)