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AC Prices Rising 10-15% from April — Should You Buy Now or Wait?

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Jaspal Singh

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10 March 2026
6 min read
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AC Prices Rising 10-15% from April — Should You Buy Now or Wait?
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Summer is around the corner, and if you have been planning to buy an air conditioner, here is some bad news: AC prices are going up by 10-15% starting April 2026. Major brands including LG, Samsung, Daikin, Voltas, and Blue Star have confirmed the hike.

The reason? A perfect storm of rising raw material costs, higher copper and aluminium prices driven by the oil crisis, and new energy efficiency regulations. Let us break down what is happening and whether you should buy now or wait.

Why Are AC Prices Rising?

1. Copper and Aluminium Prices Have Surged

An air conditioner's most expensive components — the condenser coils, evaporator, and compressor — are made primarily of copper and aluminium. Both metals have seen significant price increases:

MetalPrice (Dec 2025)Price (March 2026)Increase
Copper₹780/kg₹890/kg+14%
Aluminium₹210/kg₹245/kg+17%
Steel₹55,000/tonne₹61,000/tonne+11%

These increases are partly driven by the Iran conflict, which has disrupted global commodity supply chains. Copper alone accounts for 15-20% of an AC's manufacturing cost.

2. New BEE Star Rating Norms

The Bureau of Energy Efficiency (BEE) has updated its star rating criteria for ACs effective April 2026. What was a 5-star AC last year may now be rated 3-star under the new, stricter efficiency parameters. Manufacturers are upgrading components to maintain high star ratings, which adds to costs.

3. Refrigerant Transition Costs

India is transitioning from R-32 refrigerant to more eco-friendly alternatives as part of the Kigali Amendment to the Montreal Protocol. The new refrigerants are more expensive, adding ₹1,500-2,500 to the cost of each unit.

How Much More Will You Pay?

AC TypeCurrent Price RangeExpected Price (April 2026)Extra Cost
1 Ton 3-Star Split AC₹28,000 – ₹35,000₹32,000 – ₹40,000₹3,500 – ₹5,000
1.5 Ton 3-Star Split AC₹33,000 – ₹42,000₹38,000 – ₹48,000₹4,500 – ₹6,000
1.5 Ton 5-Star Inverter₹42,000 – ₹55,000₹48,000 – ₹63,000₹6,000 – ₹8,000
2 Ton 5-Star Inverter₹55,000 – ₹72,000₹63,000 – ₹82,000₹8,000 – ₹10,000

Should You Buy Now or Wait?

Buy Now If:

  • You definitely need an AC this summer — prices will only go up from here
  • You found a good deal during end-of-season or Holi sales
  • Your old AC is 8+ years old and consuming too much electricity (new inverter ACs can cut your electricity bill by 30-40%)

Wait If:

  • Your current AC is working fine — the price hike may moderate by October-November when off-season discounts return
  • You can survive summer with fans and coolers
  • You are eyeing a premium model — manufacturers often launch new models in June-July with better features at competitive prices

Smart AC Buying Tips to Save Money

1. Go for Inverter ACs — Always

The upfront cost is ₹5,000-8,000 more than non-inverter ACs, but inverter ACs save 30-50% on electricity. Over 5 years, that is a saving of ₹15,000-25,000 on electricity bills. The AC pays for itself.

2. Choose the Right Size

Buying an oversized AC is wasteful. For a standard bedroom (100-150 sq ft), a 1-ton AC is sufficient. For living rooms (150-250 sq ft), go for 1.5 tons. A 2-ton AC is only needed for very large rooms or rooms with direct sunlight.

3. Use No-Cost EMI

Most brands offer no-cost EMI through credit cards and consumer finance apps. A ₹45,000 AC at 12-month no-cost EMI costs you ₹3,750/month with zero interest — much more manageable than paying the full amount upfront. Use our EMI Calculator to plan your payments.

4. Check for Exchange Offers

Brands offer ₹3,000-7,000 exchange value on old ACs (even non-working ones). Combined with bank card offers and no-cost EMI, you can effectively reduce the price by ₹8,000-12,000.

5. Consider Energy Star Ratings Carefully

A 5-star AC costs more upfront but uses 15-20% less electricity than a 3-star. The annual electricity saving on a 1.5-ton AC running 8 hours daily is approximately ₹2,500-3,500. Over the AC's 10-year lifespan, that is ₹25,000-35,000 in savings.

Impact on Your Summer Budget

Air conditioning is typically the single largest electricity expense in Indian households during summer. Here is a rough estimate of monthly running costs:

AC TypeDaily Usage (8 hrs)Monthly Electricity Cost (approx.)
1.5 Ton 3-Star Non-Inverter8 hours₹3,200 – ₹3,800
1.5 Ton 3-Star Inverter8 hours₹2,200 – ₹2,800
1.5 Ton 5-Star Inverter8 hours₹1,800 – ₹2,200

Factor this into your monthly budget planning — an AC can add ₹2,000-4,000 to your monthly expenses from April to September.

The Bottom Line

AC prices are rising 10-15% from April due to higher copper, aluminium costs and new BEE regulations. If you need an AC this summer, buying before April saves you ₹3,500-10,000 depending on the model. Choose inverter ACs for long-term electricity savings, use no-cost EMI to spread the cost, and always check exchange offers.

The best time to buy an AC is always before the price hike — and that window is closing fast.

Disclaimer: This article is for informational purposes only. AC prices vary by brand, model, and retailer. The prices mentioned are indicative and based on publicly available market data as of March 2026. Always compare prices across multiple retailers before purchasing.

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Written by

Jaspal Singh

Founder & Editor

Personal finance writer helping Indians make smarter money decisions through clear, jargon-free guides on taxes, investments, and budgeting.