Maruti Suzuki to hike car prices after new green tax | Reuters

NEW DELHI Maruti Suzuki India Ltd, India's top-selling carmaker, will raise the prices of its passenger vehicles by up to 34,494 rupees ($512), after the government imposed a new 'green' tax on all cars sold in the country.

The price of its smart hybrid models, which are exempt from the new tax, will not be raised, Maruti stated on Thursday.

The automobile company did not specify when they will apply the new prices.

In his budget on Monday, Finance Minister Arun Jaitley said the tax, effective immediately, is aimed at helping fight high levels of air pollution and congestion.

On Wednesday, Daimler AG's Mercedes Benz said it would increase car prices in India by up to 5 percent.

($1 = 67.4500 rupees)

(Reporting by Aditi Shah; Editing by Sherry Jacob-Phillips)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date: Mar 03, 2016 10:43 AM

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