Maruti Suzuki India Ltd., the nation’s leading automaker, has announced a price hike for its popular Ertiga MPV and Baleno premium hatchback, effective July 16, 2025, as detailed in a recent exchange filing. The primary reason for this increase? The standardization of six airbags across all variants of these models, a move driven by the Indian government’s push for enhanced vehicle safety standards. This marks the fifth price hike by Maruti Suzuki in 2025, with the company citing the integration of advanced safety features and rising input costs as key factors.
Why the Price Hike?
The core driver behind the price revision is the inclusion of six airbags—front, side, and curtain airbags—in the Ertiga and Baleno, significantly enhancing occupant protection in the event of a collision. This decision aligns with the Ministry of Road Transport and Highways’ ongoing campaign to make six airbags mandatory for all M1 category passenger vehicles (those with up to eight seats).
Union Minister Nitin Gadkari has been a vocal advocate for this safety upgrade, repeatedly urging automakers to extend this feature to all variants, particularly in mass-market models like the Ertiga and Baleno.While dual front airbags became mandatory for the driver in 2019 and for the co-driver in 2021, the push for six airbags reflects a broader effort to align Indian vehicles with global safety standards. Gadkari’s advocacy stems from rising road accident fatalities in India, with government data highlighting the need for improved occupant protection.
By standardizing six airbags, Maruti Suzuki is responding to this regulatory pressure and addressing growing consumer demand for safer vehicles, especially in family-oriented models like the Ertiga and premium hatchbacks like the Baleno.
Cost of Compliance
The addition of six airbags, while a critical safety enhancement, comes with increased production costs. Maruti Suzuki has attributed the price hike to the need to offset these expenses, alongside other factors such as rising raw material costs and supply chain challenges. The Ertiga will see an average price increase of 1–4%, impacting its ex-showroom price range of Rs 8.97 lakh to Rs 13.25 lakh. The Baleno, on the other hand, faces a more modest hike of 0.5%, with current prices ranging from Rs 6.7 lakh to Rs 9.92 lakh. These adjustments reflect the added cost of advanced safety systems, which require sophisticated engineering and additional components.
Regulatory and Industry Context
The push for six airbags is part of a larger transformation in India’s automotive sector, driven by stricter safety and emission regulations. The Bharat New Car Assessment Programme (BNCAP) has incentivized automakers to prioritize safety features to achieve higher crash-test ratings, appealing to safety-conscious buyers.
Maruti Suzuki’s decision to implement six airbags in its mass-market models positions it as a frontrunner in this shift, though it has sparked industry-wide debates. Some automakers have expressed concerns about the cost implications of such features in budget-friendly segments, where price sensitivity is high.Maruti Suzuki’s proactive approach may set a precedent, encouraging competitors to follow suit as regulatory deadlines loom. The government’s focus on reducing road accident fatalities—India reported over 1.5 lakh road deaths in 2023, per Ministry data—highlights the urgency of these measures.
Why Now?
This is not the first price adjustment for Maruti Suzuki in 2025. The company previously raised prices in April for models like the Grand Vitara (up to Rs 62,000), Eeco (up to Rs 22,500), and Wagon-R (up to Rs 14,000), citing similar reasons: rising input costs, regulatory changes, and feature enhancements. The repeated hikes reflect the broader economic pressures facing the automotive industry, including global supply chain disruptions and increasing costs of raw materials like steel and semiconductors.
However, the specific focus on six airbags for the Ertiga and Baleno highlights Maruti Suzuki’s response to both regulatory expectations and evolving consumer preferences. As buyers increasingly prioritize safety, particularly in family-oriented vehicles like the Ertiga, the inclusion of six airbags strengthens the brand’s value proposition, even if it comes at a slightly higher cost.
What It Means for Consumers
For buyers, the price hike means a modest increase in the cost of ownership for two of Maruti Suzuki’s best-selling models. The Ertiga, a favorite among families and fleet operators, and the Baleno, a go-to choice for urban buyers, now offer enhanced safety credentials. While the price increase may strain budgets in India’s price-sensitive market, the added safety features could prove invaluable, potentially saving lives in the event of an accident.
Maruti Suzuki’s decision to prioritize safety over cost containment reflects a balancing act between affordability and compliance. As the company navigates these challenges, its ability to maintain market leadership will hinge on delivering value-driven, safe vehicles.
Sushma Singh is a blogger with a passion for cars, breaking stereotypes, and speed limits.
Sushma Singh
View More PostsSushma Singh is a blogger with a passion for cars, breaking stereotypes, and speed limits.
