New Delhi, Sep 4 (IANS): German automobile manufacturer Volkswagen Wednesday said it will raise prices of its products in India.
"Rupee depreciation is impacting our margins very heavily and we have to increase our prices soon,” Arvind Saxena, managing director, Volkswagen Passenger Cars, said on the sidelines of Society of the Indian Automobile Manufacturers (SIAM) annual convention here.
“We are currently working out the quantum of (price increase),” he said.
The partially convertible Indian rupee has depreciated by close to 25 percent from the start of the fiscal year.
The rupee depreciation coupled with high import duties increases the cost of foreign built parts which are used by automobile companies.
Another German automobile manufacturer, Mercedes-Benz, had hiked prices of its entire range of models by 2.5-4.5 percent from Sep 1.