Ford India on Monday announced a reduction in the prices of its vehicles by up to Rs 1.07 lakh across various models after the excise duty cut announced in the interim budget.
"Ford India has passed on the benefits of recent excise duty reduction to customers and has revised the prices of its products with immediate effect," the company said in a statement.
The reductions will be applicable across Ford Figo, Ford Classic, Ford EcoSport, Ford Fiesta and the Ford Endeavour.
Prices of hatchback Ford Figo have been reduced up to Rs 23,399, while that of Ford Classic up to Rs 24,056, the company said.
The prices of compact sports utility vehicle Ford EcoSport have been reduced up to Rs 25,947.
Ford Fiesta and Ford Endeavour will offer benefits up to Rs 32,961 and Rs 1,06,753 respectively, the company said.
Commenting on the move, Ford India executive director, marketing, sales and service Vinay Piparsania said: "Reduction of excise duty is a welcome step for the automotive industry and is timely with de-growth the industry is currently witnessing. We hope it will have a positive impact on consumer sentiment and stimulate pent up demand."
In a separate statement, VE commercial vehicles also announced price cuts on Eicher trucks and buses effective from February 18, 2014 to pass on full benefit of the 4% excise duty reductions to its customers.
Earlier this week, other major auto companies, including Maruti Suzuki India, Hyundai Motor India, Honda Cars India, Volkswagen, Mahindra & Mahindra, Fiat, Mercedes Benz and Audi, have announced price cuts to pass on the benefit of excise duty cut to consumers.
In the interim budget, finance minister P Chidambaram cut excise duty to 8% from 12% for small cars, scooters, motorcycles and commercial vehicles; 24% from 30% for SUVs; 20% for mid-sized cars from 24% and 24% for large cars from 27%.