Maruti Suzuki India, country's largest carmaker will hike prices of its vehicles across different models between Rs 4,000 and Rs 12,000 next week.
The company, which has started its week-long annual plant shutdown, will announce the quantum of increase in prices when it reopens the plant on January 2, sources said.
When contacted, a Maruti Suzuki India official said: "The management has taken a decision formally just before the plant shut-down to hike prices by 2-3 per cent across different models."
The increase in prices could vary according to the variants of different models, the official added.
The company had cited higher costs of raw materials such as lead and aluminum as well as oil among the reasons for increasing the vehicle prices.
Following MSIL's move, other companies like Hyundai and General Motors have also announced plans to increase prices of their products between 2 per cent and 3 per cent.
Other players like Honda Siel Car India had, however, said they would not be tinkering with the existing prices of their products.