Luxury carmakers Mercedes-Benz and Audi have announced price increases of up to 2 per cent across their model ranges from April 1, citing currency volatility and rising input costs, in the latest round of hikes in India’s premium car market.
Mercedes-Benz India said it will implement a price correction of around 2 per cent across its portfolio, marking the German automaker’s second price hike in 2026 after a similar increase in January.
“Starting April 1, we will be implementing a price correction of around 2 percent across our portfolio. This decision is largely driven by continued forex volatility, particularly the sustained depreciation of the rupee against the euro, along with rising input costs,” Brendon Sissing, vice-president, sales and marketing, Mercedes-Benz India, said.
Based on current prices, the revision could translate into increases ranging from ₹89,000 to ₹7.33 lakh, depending on the model. Mercedes-Benz currently sells vehicles in India priced between ₹44.45 lakh for the A-Class sedan and ₹3.67 crore for the AMG G63.
Audi price hike
German rival Audi India has also announced a price increase of up to 2 per cent across its model range, effective April 1.
“Due to recent rising input costs and currency fluctuations, we are implementing a price adjustment of up to 2 per cent effective from April 1, 2026. We remain committed to minimising the impact of the price hike on our customers,” Balbir Singh Dhillon, brand director, Audi India, said.
Based on current pricing, the increase could translate into about ₹86,000 on the Audi Q3, the company’s most affordable model priced from ₹43.23 lakh and up, and ₹4.64 lakh on the performance-focused RS Q8, which starts at ₹2.32 crore (both ex-showroom).
Audi’s locally assembled models in India include the A4 and A6 sedans, and the Q3, Q3 Sportback, Q5 and Q7 SUVs, while the brand also sells imported models such as the A5 Sportback, Q8, Q8 e-tron and e-tron GT.
The fresh hikes come as luxury carmakers grapple with sharp currency movements, which have pushed up the cost of importing vehicles and components.
India imports a significant portion of luxury cars or key components from Germany and the United Kingdom, making the segment particularly sensitive to exchange-rate fluctuations.
Compared to last year, the rupee has depreciated by over 6 per cent against the US dollar, while declines against the euro and British pound are in double digits, increasing cost pressures for manufacturers.
Several luxury carmakers had already raised prices earlier this year, with BMW and Mercedes-Benz implementing hikes from January, citing similar pressures from rising input costs and foreign exchange movements.
Published on March 13, 2026
