Honda will hike the prices of its sedans, The City and The Civic between 5000 Rs to 10000 Rs in May. The company said rising steel and other cost have put immense pressure on the company which they have been trying to absorb. “It has reached a stage where we will have to pass it on to the customer” Said a company official.

The increase will be between 5000 to 10000 Rs varying according to the different variants of the two models. The exact amout is still being worked out. The hike comes in wake of Maruti Suzuki, which has wirtten to its dealers about an imminent price hike effective from next month. Maruti Suzuki though has not communicated the quantum of hike still.

Rising steel cost has had an impact accross the Automobile industry and a subdued market has made them thibk twice before taking any decisions.  India’s largest two-wheeler maker Hero Honda has already hiked prices by 1000-1500 Rs across various products.