Automotive Discounts Surge: GST Reforms Prompt Price Reductions from Major Brands

The Indian government’s recent GST reforms have directly impacted vehicle prices, leading to numerous discounts across the automotive market. The revisions to GST rates, which are based on vehicle attributes, are being passed on to consumers in the form of reduced prices. Mercedes-Benz India has announced significant price cuts for its entire range of cars and SUVs, following the implementation of the new GST 2.0 framework. This new framework, effective from September 22, 2025, simplifies passenger car taxation by implementing a flat 40% GST slab, replacing the previous structure. Electric vehicles continue to benefit from the government’s support of sustainable mobility. Price drops include the GLA 220d 4MATIC AMG Line (reduced by Rs 3.8 lakh) and the S 450 4MATIC (reduced by Rs 11 lakh). Skoda India is offering deals and GST-linked benefits on models like the Kodiaq, Kushaq, and Slavia. Mahindra is offering discounts across its vehicle range, and Toyota has also lowered prices on select models. Hyundai has also announced price reductions on several models to pass on the benefits of the tax cuts to consumers.