Mumbai: Kia India has announced a price increase of up to 3% across its entire vehicle lineup, effective from April 1, 2025. The company cited rising commodity prices and increased supply chain costs as the primary reasons behind the decision.

Reason Behind the Price Hike

Hardeep Singh Brar, Senior Vice President of Sales and Marketing at Kia India, explained, “As a brand committed to providing exceptional value and quality to our customers, we have always strived to offer the best vehicles at competitive prices. However, due to the rising costs of commodities and input materials, we will be implementing a price hike of up to 3% across all Kia models.”

He further added, “While we understand that price adjustments can be challenging, this decision has been made to ensure that we can continue delivering the high-quality, technologically advanced vehicles that our customers expect from Kia.”

Efforts to Minimize Impact on Customers

Kia India also reassured its customers that the company would absorb a significant portion of the increased costs. “We are taking steps to ensure the price adjustment remains as manageable as possible for our valued customers,” Brar said, aiming to reduce the burden of the hike on buyers.

Industry Trends and Comparison

This move by Kia India aligns with similar price hikes announced by other major automakers like Tata Motors and Maruti Suzuki India Limited. Both companies have also cited rising input costs, operational expenses, and inflationary pressures as the key factors driving their price revisions.

Given the ongoing industry-wide cost increases, experts believe that other automakers may follow suit with their own price adjustments.

Kia India's Strong Position in the Market

Despite the price increase, Kia India remains a strong player in the domestic market, having sold 1.45 million units both in India and overseas. The Kia Seltos continues to be the company’s top-selling model, with more than 690,000 units sold. Kia Sonet follows closely with over 500,000 units, and the Kia Carens has recorded more than 232,000 sales. Additionally, Kia Carnival has contributed to the brand’s success, with over 15,000 units sold.

Kia's Growth and Manufacturing Presence in India

Kia India began its journey in India in April 2017 when it signed an agreement with the Andhra Pradesh government to set up a manufacturing plant in Anantapur district. The plant commenced mass production in August 2019 and has an annual production capacity of 300,000 units. This move aligns with the Indian government’s ‘Make in India’ initiative, contributing to the company’s robust growth in the domestic market.

Kia India's price hike follows broader industry trends and reflects the increasing operational costs affecting automakers globally. However, with the company’s strong product lineup and commitment to customer satisfaction, Kia continues to maintain its position as a key player in India’s competitive automobile market. As other manufacturers may follow suit with similar hikes, the impact of these price adjustments on customers will be closely watched in the coming months.