India's Favourite Land Rover to Get A Massive, 20 Lakh Price Drop: Here's Why

Written By: Vikas Kaul
Published: May 16, 2025 at 07:47 AMUpdated: Updated: May 16, 2025 at 07:47 AM
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In a strategic move poised to reshape the luxury SUV market, Jaguar Land Rover (JLR) has announced plans to locally assemble its iconic Defender model in India. This shift is expected to slash prices by over ₹20 lakh, making the rugged yet refined SUV more accessible. The Defender, currently priced between ₹1.05 crore and ₹2.79 crore (ex-showroom), could see its starting price dip below ₹1 crore, potentially settling around ₹80–85 lakh after local production begins at JLR’s Pune facility.

Local Assembly Drives Affordability

akanksha puri buys new defender

The decision to assemble the Defender domestically follows JLR’s successful localisation of the Range Rover and Range Rover Sport, which saw price reductions of up to ₹56 lakh. By avoiding steep import duties-previously 110% for completely built units (CBUs)-the company aims to replicate this strategy with the Defender.

Under India’s new free trade agreement (FTA) with the UK, import tariffs on CBUs have dropped to 10%, but assembling vehicles locally through completely knocked-down (CKD) kits remains more cost-effective, attracting just 16.5% duty.

This pricing shift positions the Defender to compete aggressively in the sub-₹1 crore luxury SUV segment, challenging rivals like the Mercedes-Benz G-Class and Toyota Land Cruiser. Industry analysts suggest the move could boost annual sales, building on the Defender’s existing popularity-over 5,000 units sold since its India launch, making it the top-selling vehicle in its class.

Defender Became a Whole Lot More Attractive

land rover defender

Local assembly not only reduces costs but also shortens delivery times and improves availability. For customers, this translates to a more affordable entry into the Defender’s legacy of off-road prowess and modern luxury.

The SUV’s design, which blends retro styling with contemporary tech, has garnered a dedicated following. Features like adjustable air suspension (with a ground clearance of 290 mm), advanced terrain response systems, and a minimalist yet functional interior have been praised by automotive experts.

However, the Defender’s appeal isn’t limited to rugged adventures. Reviews highlight its surprising on-road refinement, with direct steering and a compliant ride that glides over potholes-a trait especially valuable in urban Indian conditions.

The 2.0-litre turbo-petrol engine, though adequate for highways, has drawn mixed feedback for its relaxed throttle response in city traffic. Enthusiasts eyeing the recent Octa variant, powered by a 4.4-litre BMW-sourced V8, will need to wait, as this model will continue as a CBU with no immediate plans for local assembly.

Price Cut Would Help But…

While the price cut broadens the Defender’s appeal, long-term reliability remains a concern for potential owners. Land Rover’s reputation for sporadic electrical glitches and high maintenance costs could deter some, though the brand’s growing service network in India aims to address these worries.

Strategic Shift in Luxury Automotive

JLR’s localisation strategy underscores India’s rising importance in global luxury automotive markets. The Defender’s assembly aligns with parent company Tata Motors’ vision to establish India as a hub for premium vehicle production. With ultra-high-net-worth individuals driving demand, JLR aims to capitalise on India’s economic growth and improving infrastructure.

The Defender’s upcoming price adjustment also reflects broader trends in the industry, where local manufacturing is becoming essential to remain competitive. As Richard Molyneux, JLR’s Chief Financial Officer, noted, expanding local production helps the brand tap into India’s aspirational consumer base while navigating complex tariff structures.

What This Might Mean for JLR in India

As the Defender prepares for its budget-friendly, or rather somewhat cheaper avatar, its success could pave the way for further localisation of JLR’s lineup. For now, the SUV’s blend of heritage, capability, and newfound affordability positions it as a compelling choice for those seeking luxury without compromise.