Leading auto manufacturers are set to reduce the prices of their high-end cars as they mull to pass on the benefit of the excise cut on big cars to consumers. Hindustan Motors Ltd (HML) is the first company to announce price cuts of Rs 6,000 on its partner Mitsubishi’s Pajero, Outlander and Montero cars.
While BMW, General Motors and Toyota said they would pass on the benefits of excise cut, Tata Motors said it would soon announced its decision on it. However, Honda Siel Cars India (HSCI) said it would not cut the prices of its vehicles. While presenting the Budget, Finance Minister Pranab Mukherjee proposed to reduce the additional excise duty on big cars with engine capacities of 2,000cc and above by Rs 5,000 per unit.