The country's largest truck and bus manufacturer informed stock exchanges about the decision on Thursday, citing rising commodity prices and higher input costs.

New Prices To Take Effect From July 1

According to the company's exchange filing, the revised prices will come into effect from July 1, 2026.

"The price increase is being undertaken to partially offset the impact of rising commodity prices and other input costs," Tata Motors said in its filing.

The extent of the increase may vary depending on the model and variant.

Rising Costs Prompt Fresh Hike

The latest move comes as automobile manufacturers continue to grapple with elevated raw material costs and supply-chain-related expenses.

Industry players have increasingly passed on a portion of these costs to customers through periodic price revisions.

For Tata Motors, the latest increase is aimed at mitigating the impact of higher production costs while maintaining profitability.

Second Increase In Three Months

This is the second commercial vehicle price hike announced by Tata Motors in 2026.

In March, the company had increased commercial vehicle prices by 1.5 percent, with the revised rates becoming effective from April 1.

The latest 2.5 percent hike follows that earlier revision, reflecting continued cost pressures in the sector.

Passenger Vehicles Also Set To Get Costlier

The announcement comes shortly after Tata Motors Passenger Vehicles said it would raise prices across its passenger vehicle portfolio by 1.5 percent from July 1, 2026.

The move indicates that rising input costs are affecting multiple segments of the company's automotive business.

About Tata Motors

Tata Motors is India's largest commercial vehicle manufacturer and a key player in the truck and bus market.

Commercial vehicle demand is closely linked to economic activity, infrastructure spending and logistics growth.

Price hikes in the segment are often driven by fluctuations in commodity prices such as steel, aluminium and rubber, which constitute a significant portion of manufacturing costs.

Automakers typically resort to periodic revisions when sustained cost pressures begin to affect margins.