Representative image showing cars parked.
Credit: Reuters File Photo
Soon after the GST Council, headed by Finance Minister Nirmala Sitharaman, approved a two-tier structure of 5 per cent and 18 per cent taxes, several automobile manufacturers have announced price cuts on commercial vehicles to pass on the rate cut benefit to customers.
In the biggest reform since Goods and Services Tax (GST) was rolled out on July 1, 2017, the GST Council, comprising the Centre and states, last week decided to decrease the number of slabs to just two from the current four as well as a 40 per cent slab for sin goods. It was decided in the meeting that GST on small cars, buses and other commercial vehicles like trucks and delivery vans, will be slashed to 18 per cent from 28 per cent.
Currently, GST is levied at 5, 12, 18 and 28 per cent rates, and a compensation cess is levied on luxury and sin goods.
Here is a list of manufactures that have announced price cuts on different vehicle models you need to know before your next automobile purchase.
Hyundai
Hyundai announced on Sunday that it will cut car prices by up to Rs 2.4 lakh effective from September 22, the date revised GST rates are slated to come into effect.
Hyundai Tucson model, which is priced at around Rs 30 lakh, will become cheaper by Rs 2.4 lakh. The price of Hyundai Venue model will go down by Rs 1.23 lakh. Nios will become cheaper by Rs 73,808 while price of i20 will be cut by Rs 98,053.
Tata Motors
Tata Motors announced upto Rs 4.65 lakh cut in prices of commercial vehicles. The price of Tata Motors’ heavy commercial vehicles will be lowered in the range of Rs 2.8 lakh to Rs 4.65 lakh. Prices of buses and vans will be reduced in the range of Rs 1.20 lakh to Rs 4.35 lakh, while the price of Tata Motors’ small commercial vehicles will be reduced in the range of Rs 30,000 to Rs 1.1 lakh.
On passenger cars, Tata Motors has announced upto Rs 1.55 lakh cut in prices. Tata Tiago will become cheaper by Rs 75,000, while the price of Nexon will be cut by Rs 1.55 lakh. Tata Punch will become cheaper by Rs 85,000.
Nissan Motor India
Nissan Motor India on Monday said it has cut prices of its compact SUV Magnite by up to Rs 1 lakh to pass on the GST rate cut benefit to customers.
The revised pricing will be effective on all deliveries made on or after September 22, 2025, coinciding with the first day of Navratri, the automaker said in a statement.
Mahindra & Mahindra
Mahindra & Mahindra on Saturday said it has reduced prices of its passenger vehicle range by up to Rs 1.56 lakh with immediate effect.
The revised prices for all applicable ICE portfolios are effective from September 6, 2025, and will be transparently updated across dealerships and digital platforms, it added.
The company has reduced price of Bolero/Neo range by Rs 1.27 lakh, XUV3XO (petrol) by Rs 1.4 lakh, XUV3XO (diesel) by Rs 1.56 lakh, THAR 2WD (diesel) by Rs 1.35 lakh, THAR 4WD (diesel) by Rs 1.01 lakh and Scorpio Classic by Rs 1.01 lakh.
Similarly, price of Scorpio-N is reduced by Rs 1.45 lakh, Thar Roxx by Rs 1.33 lakh and XUV700 by Rs 1.43 lakh.
Renault India
Renault India on Saturday said it will reduce prices of its vehicles by up to Rs 96,395.
This move significantly enhances the value proposition of Renault's renewed product line-up, including the Triber and Kiger, and is expected to drive strong momentum during the festive season, the company said.
Price of entry level Kwid will come down by up to Rs 55,095, Triber by Rs 80,195 and Kiger by up to Rs 96,395, the automaker said.
Toyota
Toyota Kirloskar Motor on Saturday said it is reducing prices of its vehicles by up to Rs 3.49 lakh.
Price of Glanza hatchback is expected to come down by up to Rs 85,300, Taisor by Rs 1.11 lakh, Rumion by Rs 48,700, Hyryder by Rs 65,400, Crysta by Rs 1.8 lakh, Hycross by Rs 1.15 lakh and Fortuner by Rs 3.49 lakh.
Similarly, Legender price is expected to reduce by Rs 3.34 lakh, Hilux by Rs 2.52 lakh, Camry by Rs 1.01 lakh and Vellfire by Rs 2.78 lakh, TKM said.
BMW
Luxury carmaker BMW has announced upto Rs 8.9 lakh reduction in the prices of its various models.
Lexus India
Luxury carmaker Lexus India on Monday announced the reduction in prices of its entire product range by up to Rs 20.8 lakh to fully pass on the benefits of the GST rate reduction on automobiles.
The revised prices will be effective from September 22, 2025, Lexus India said in a statement.
Under the revised prices, the reduction in prices of the company's six models will range from up to Rs 1.47 lakh on the sedan ES 300h to up to Rs 20.8 lakh on the flagship SUV LX 500d.
Audi India
German luxury car maker Audi on Monday announced a price cut ranging from Rs 2.6 lakh to over Rs 7.8 lakh in its vehicles in India across models.
Under the new prices, the company's entry SUV Q3 will start at a price of Rs 43.07 lakh, down from Rs 46.14 lakh earlier.
Similarly, top top-end SUV Q8 will have a starting price of Rs 1.1 crore, down from Rs 1.18 crore earlier.
Prices of other models, such as SUVs Q5 and Q7, along with sedans A4 and A6, have also been reduced.
Kia India
Kia India on Monday said it is reducing prices of its vehicles by up to Rs 4.48 lakh to pass on GST rate cut benefit to customers.
The price cut ranges between Rs 48,513 on Carens to Rs 4,48,542 on Carnival and is effective from September 22, the automaker said in a statement.
JSW MG Motor India
JSW MG Motor India said it has reduced model prices in the range of Rs 54,000 to Rs 3.04 lakh with effect from September 7.
(With PTI inputs)