Tata Motors has declared an upcoming 2% increment in the prices of its commercial vehicles, set to take effect from April 1. This adjustment is attributed to counteracting the residual effects of previous input cost fluctuations.

In an official statement, the company, recognized as India's leading commercial vehicle manufacturer, stated, "Tata Motors, India’s largest commercial vehicle manufacturer, announced that it will increase the price of its commercial vehicles effective 1st April 2024, up to 2%. The price increase is to offset the residual impact of the past input costs. While the price increase will vary as per individual model and variant, it will be applicable across the entire range of commercial vehicles."

This price hike follows a 3% increase in commercial vehicle prices on January 1. Additionally, passenger vehicle prices experienced a 0.7% rise on February 1, with the purpose of neutralizing input cost escalations.

Furthermore, on Thursday, Tata Motors shares concluded with a 2.14% gain, reaching Rs 1,039.35. As of the current closing price, the stock remains merely 2.53% below its one-year peak of Rs 1,065.60, observed recently on March 5.

In a separate development earlier in the week, Tata Motors disclosed plans to split its operations into two distinct publicly listed entities. One entity will encompass the commercial vehicle business and associated investments, while the other will focus on passenger vehicle operations, including conventional and electric vehicles, as well as JLR and associated investments.

Regarding this restructuring, the automaker commented, "The demerger is a logical progression of the subsidiarisation of PV and EV businesses done earlier in 2022 and shall further empower the respective businesses to pursue their respective strategies to deliver higher growths with greater agility while reinforcing accountability."