Small cars, sports utility vehicles, sedans, and two-wheelers are set to get costlier with automakers raising prices to partially absorb the impact of high material costs.

Automotive Component Manufacturers Association of India (ACMA), the apex body representing India’s Auto Component manufacturing industry announced a growth of 65 per cent over the first half of the previous year.

With the ripple down effect of declining automobile sales, the forging industry is facing the heat with a sharp decline in demand.

Ind-Ra revised auto volumes growth forecast to 12%-16% YoY from the initial forecast of 16%-20% YoY. The downward revision is due to a revision in the growth forecasts for 2Ws and PVs.

According to a regulatory filing, Maruti Suzuki India Limited (MSIL) has experienced a price hike of 1.9% on its entire product line which includes Swift, Baleno, Ciaz, S-Cross, Alto 800, and S-Presso.

With industrial paints, coatings and varnishes sector has experienced a shift from unorganised to the organised market with the GST introduction and aimed for a better market due to GST cut.

The company took the decision after evaluating rising input costs and various external economic factors.

The Indian auto industry, which has started to show strong growth since last 4-5 years, is emerging as a major export hub for the global market.

CII CEOs Opinion Poll, held in Pune recently, gave thumbs up to economy with 82 per cent CEOs expecting GDP growth of more than 7 per cent for 2018-19. It has also raised some concerns on credit availability to MSMEs.