Mumbai: Hero Honda Motors Ltd, India’s leading motorcycle maker, has reduced the prices of its products after the government cut a tax as part of a stimulus package.
The reduction ranges between Rs1000 rupees to Rs2000 across its product portfolio, it said in a statement issued late on Tuesday.
Ford Motor’s Indian unit has also cut prices of its cars by Rs17,500 to Rs54,000.
The government on Sunday announced a 4% cut in central value-added tax on all products other than petroleum, as part of a stimulus package to boost the slowing economy.
No. 2 bike maker Bajaj Auto and car makers Maruti Suzuki India, Hyundai Motor India and Honda Siel Cars India announced price cuts earlier in the week.
Hero Honda, in which Japan’s Honda Motor Co holds 26%, saw its sales rise 0.5% in November from a year earlier.