Tata Motors stock price rises on move to hike commercial vehicle prices

The price increase will be applied across the entire range of commercial vehicles, with the exact amount varying according to the individual model and variant, the auto maker said.

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Tata Motors stayed in focus on March 22, a day after the company decided to hike prices of its commercial vehicles.

At 9:15am, Tata Motors traded at Rs 416.40, up Rs 4.00, or 0.97 percent, on the BSE. It touched an intraday high of Rs 417.10 and an intraday low of Rs 415.

The auto major on March 21 announced that it will be raising the prices of commercial vehicles by up to 5 percent from April 1.

“The decision to increase prices is a result of the company’s efforts to comply with the more stringent BS6 Phase II emission norms,” the automaker said in a statement.

It also added that the price increase will be applied across the entire range of commercial vehicles, with the exact amount varying according to the individual model and variant.

Earlier in February, Tata Motors had increased the price of its passenger vehicles by 1.2 percent weighted average basis on the back of rising input costs.

Tata Motors had then said that it has been “absorbing a significant portion of the increased costs on account of regulatory changes and rise in overall input costs and is hence passing on some portion through this hike”.

Jaguar Land Rover (JLR), one of the premium offerings of Tata Motors, reported jump in sales at 1,670 units in the British market in February, which is 33 percent higher as against 1,253 units sold a year ago.