Mercedes-Benz India has announced a price rise of up to 2% across all models from January 1, 2026, citing sustained forex volatility and higher operating costs. The Euro remained above ₹100 for most of 2025, significantly increasing costs for imported components and fully built vehicles.
The company said inflationary pressures, commodity price increases and higher logistics expenses have also contributed to the decision. Mercedes-Benz added that, despite extensive localisation efforts, a price revision has become necessary, though most of the cost burden continues to be absorbed internally. Additional quarterly adjustments may follow depending on forex movements.
CEO Santosh Iyer said the extended duration of currency pressures has posed challenges across the value chain. He noted that RBI’s repo rate cuts have enabled MBFS to offset a large share of the price impact through improved financing schemes.
Mercedes-Benz Financial Services will continue offering structured solutions to help customers manage ownership costs, with financing covering around 80% of all Mercedes-Benz purchases in India.
