Luxury carmaker Mercedes-Benz India announced a 2 per cent price increase on its vehicle models from January 1, 2026.

The company stated that the price correction, capped at 2 per cent, reflects sustained forex pressures that have characterised the luxury automotive landscape throughout 2025.

“This currency environment has created substantial cost pressures across the supply chain, affecting both imported components for local assembly, as well as import of CBU (completely built vehicles). Despite the company’s aggressive localisation strategy, which continues to absorb the bulk of increased costs, a selective price adjustment has become essential to maintain operational sustainability,” mentions a company statement.

Further, a rise in input costs, commodity prices, and logistical expe

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