With the Indian automotive industry facing the pressure from rising interest rates on bank loans Maruti which is the largest car manufacturer in India has slashed prices of all its cars by up to five thousand rupees. The company states that this has been done in order to pass on the tax benefits offered by the state government to their customers. The Haryana government has cut down the sales tax rate and it now stands at two percent. The company is also in the process of launching a replacement for their not so successful car Baleno.
Car sales are expected to slow down in India since the interest on loans has crossed the double digit mark and therefore first time buyers may avoid going for a car as of now. This could slow down the growth of Indian automotive industry and realizing this car manufacturers have started slashing their rates and offering certain freebies in order to keep the momentum going.
Via: techwhack
