Top Car Brands Deliver Comprehensive Price Cuts Under GST 2.0 Reform

Car buyers in India are beginning to see the impact of the GST 2.0 reform that came into force on September 22, 2025. The sweeping tax revision has led to substantial model-wise price cuts across the board, from budget hatchbacks to luxury sedans and SUVs. Nearly every major brand has responded with revised price lists, and the savings are significant enough to alter buyer behaviour in the coming festive season.

Hyundai Rolls Out Widespread Reductions

Hyundai Motor India has implemented price cuts across its entire product portfolio, making it one of the most comprehensive revisions in the market. Entry-level models like the Grand i10 Nios and Aura compact sedan have become more affordable by around ₹74,000 to ₹78,000. Even the Exter, Hyundai’s newest micro-SUV, sees a reduction of nearly ₹90,000. The i20 range, including the sportier N Line, now costs close to ₹1 lakh less depending on the variant.

The brand’s popular compact SUVs also show substantial corrections. The Venue now carries a reduction of more than ₹1.2 lakh, the largest in its segment, while the Venue N Line sees a similar drop. The Verna sedan, a key player in the midsize space, has a cut of over ₹60,000, while the Creta and Creta N Line are cheaper by more than ₹70,000. Even the three-row Alcazar sees reductions of around ₹75,000. The biggest savings are on the Tucson SUV, where buyers can save up to ₹2.40 lakh, the highest across Hyundai’s range.

Toyota Focuses on High-Value Models

Toyota Kirloskar Motor has also revised prices across the board, with the largest benefits coming on premium models. The entry-level Glanza hatchback now costs up to ₹85,000 less, while the newly launched Taisor cross-hatch has seen reductions exceeding ₹1.1 lakh. The Rumion MPV is cheaper by around ₹48,000.

SUVs such as the Hyryder hybrid and the Innova range have also been repriced. The Innova Crysta’s reduction of ₹1.8 lakh stands out, while the Innova Hycross is now more than ₹1.15 lakh cheaper. Among premium products, the Fortuner records the steepest cut at ₹3.49 lakh, while the Hilux pickup is down by ₹2.5 lakh. Toyota’s luxury offerings are not left out either, with the Vellfire MPV seeing reductions of nearly ₹2.8 lakh and the Camry sedan cheaper by just over ₹1 lakh.

Mahindra and Tata Trim SUV Prices

Mahindra has restructured prices across its SUV-heavy portfolio. Compact models like the XUV 3XO now come with reductions of up to ₹1.56 lakh, depending on the engine. The Thar 2WD Diesel is cheaper by around ₹1.35 lakh, while the Bolero series also sees benefits crossing ₹1.25 lakh. Larger SUVs such as the Scorpio-N and XUV700 have both received cuts exceeding ₹1.4 lakh, while the Thar Roxx and Thar 4WD Diesel are lower by more than ₹1 lakh.

Tata Motors has mirrored this trend by announcing cuts across its hatchback, sedan and SUV range. The Tiago and Tigor are now cheaper by about ₹75,000 and ₹80,000 respectively. The Altroz premium hatchback records a drop of ₹1.10 lakh. Among SUVs, the Nexon shows the steepest cut at ₹1.55 lakh, followed by the Safari at ₹1.45 lakh and the Harrier at ₹1.40 lakh. Even newer models like the Curvv coupe-SUV have seen benefits of around ₹65,000, while the Punch compact SUV is down by ₹85,000.

Luxury Segment Registers Biggest Drops

The most dramatic price corrections are in the luxury category. Mercedes-Benz India has introduced reductions that go as high as ₹11 lakh. The A-Class entry sedan is now close to ₹3 lakh cheaper, while the GLA SUV is down by nearly ₹3.8 lakh. Higher up the ladder, the GLC 300 4MATIC and E-Class LWB see savings of more than ₹5 lakh and ₹6 lakh respectively. Buyers of the GLS AMG Line can expect benefits of around ₹10 lakh, while the S-Class flagship sedan sees the maximum cut of ₹11 lakh, now priced at ₹1.88 crore.

BMW too has reduced prices by up to ₹8.9 lakh across its ICE range, reflecting the removal of the earlier compensation cess under the new GST slab. This brings the German brand’s models into a more competitive bracket against both Mercedes and Audi.

Renault’s smaller portfolio of the Kwid, Triber and Kiger has also seen meaningful reductions. The Kwid is now up to ₹55,000 cheaper depending on variant, the Triber’s benefit ranges from ₹54,000 to ₹80,000, and the Kiger offers the steepest cut of nearly ₹96,400 on top variants.

Skoda has combined GST benefits with additional festive discounts, raising the total savings substantially. The Kushaq compact SUV now comes with a ₹66,000 GST benefit plus ₹2.5 lakh of limited-time offers, while the Slavia sedan has savings of more than ₹1.8 lakh in total. The Kodiaq premium SUV tops the list with combined benefits exceeding ₹5.8 lakh.

Maruti Suzuki has not yet shared a complete model-wise list but has confirmed significant corrections. The Alto K10 is expected to be cheaper by around ₹40,000 to ₹50,000, the Wagon R by up to ₹67,000 and the Baleno by close to ₹85,000. Other small cars such as the Swift and Fronx are projected to become 8 to 10 per cent more affordable under the new structure.

Buyers Gain Across All Segments

The GST 2.0 reform has simplified the tax structure while directly passing on benefits to consumers. From a ₹40,000 reduction on entry-level hatchbacks to savings of ₹11 lakh on luxury sedans, the impact is being felt across every category. Most manufacturers have implemented the new prices from September 22 to align with the festive calendar, although some like Mahindra acted earlier, giving buyers a head start.

For customers, this is the largest price correction in recent memory. The timing, coinciding with Navratri and Diwali offers, adds to the appeal. With both mainstream and luxury manufacturers delivering transparent reductions, GST 2.0 is shaping up to be a landmark reform that not only simplifies taxation but also makes cars more accessible to buyers across the spectrum.