The price reduction is in the light of excise duty cut on vehicles and the company is passing on the excise reduction to customers, as may be applicable for specific categories for both passenger and commercial vehicles. The reduction is with immediate effect, said a Tata Motors spokesperson.
For passenger vehicles, the company has lowered prices in the range of R6,300-69,000, depending on the model. For commercial vehicles, the price cut is in the range of R15,000-150,000, depending on the model.
Ford India also lowered prices for its entire portfolio by up to R1.07 lakh after the excise duty cut was announced in the interim budget. Figo price is now lower by R23,400 for the base version. Fiesta and Endeavour will be cheaper by R33,000 and R1,06,800 respectively.
In the interim Budget 2014-15, finance minister P Chidambaram had announced reduction of excise duty on small cars, scooters, motorcycles and commercial vehicles to 8% from 12% earlier; 24% from 30% on SUVs; 24% from 27% on large cars and 20% from 24% in mid-sized cars.
Other carmakers like Maruti, Hyundai and Honda Motor announced price cuts on February 19.
Yamaha cuts bike prices
Yamaha Motor India Sales on Friday announced price cut in its two-wheelers by up to R3,066 across models, following excise duty reduction.
The company has decided to pass on the differential amount to the dealers on their existing as well as transit stock in order to enable them to immediately extend 100% benefit to the customers, Yamaha Motor India Sales said in a statement.
The price cut ranges from R1,033 to R3,066 depending on the variants, it added.
Other two-wheeler makers such as Hero MotoCorp and Honda Motorcycle and Scooter India announced price cuts earlier.