The excise duty cut for automobiles announced in the interim budget has had a telling effect with the country’s largest Sports Utility Vehicle manufacturer Mahindra & Mahindra Ltd (M&M) slashing the price of its passenger vehicles ranging from Rs 13,000 to Rs 49,000.
In case of its premium SUV Rexton, the price cut is up to a huge Rs 92,000, the company said in its filings with the stock exchanges. All price cuts will come into effect immediately.
Pravin Shah, Chief Executive, Automotive Division, M&M, said the duty cut announcement was made in the interim budget to give a boost to the automotive industry. He hoped the reduction in price announced by the auto companies including M&M `would provide the much needed fillip to the auto industry’. He said the prices of M&M’s commercial vehicles were also being reduced.