MG Motor Moves First With GST-Driven Price Cuts

JSW MG Motor India has become the first manufacturer to pass on GST 2.0 benefits, announcing reductions across its SUV portfolio from 7 September 2025. This puts the company ahead of the official 22 September rollout date and directly targets the festive season rush.
The Astor, MG’s compact SUV that rivals the Hyundai Creta and Honda Elevate, now starts at a lower price thanks to cuts of up to ₹54,000. The Hector, available in both petrol and diesel, shows even more striking reductions.
Petrol trims are cheaper by around ₹1 lakh, while diesel versions, which previously faced higher cess, are now reduced by as much as ₹1.49 lakh. The biggest change comes with the Gloster.
Positioned against the Toyota Fortuner and Skoda Kodiaq, it now gets reductions of up to ₹3.04 lakh, pushing its starting price into more attractive territory for buyers seeking a full-size seven-seater SUV.
MG’s SUV-heavy portfolio has seen mixed fortunes. The Hector continues to do decently d in its segment, but the Astor has struggled to keep pace with Korean and Japanese rivals. The Gloster, despite being loaded with features, has remained niche due to its price.
With these cuts, MG is attempting to make each product more compelling. The Gloster, in particular, could attract attention from Fortuner intenders who may now see MG’s offering as a value-rich alternative. The Hector’s diesel trims, now priced on par with petrol, also broaden its appeal in semi-urban markets where diesel demand is stronger.
The company is complementing these cuts with finance schemes like 100 per cent on-road funding and a three-month EMI holiday. These measures address the practical concerns of middle-class buyers who manage tight household budgets. MG is signalling that it understands that affordability goes beyond sticker prices.
For customers, the savings are significant. A top-spec Hector diesel now comes in nearly ₹1.5 lakh cheaper, and a fully-loaded Gloster buyer stands to save more than ₹3 lakh. In practical terms, this pushes EMIs down by several thousand rupees, potentially swaying those who were earlier undecided. The Astor’s reduction makes it more competitive against the Creta and Elevate, both of which have dominated the compact SUV segment.
By rolling out these benefits two weeks ahead of competitors, MG is betting on building early momentum in the festive period. The SUV market has shown signs of price fatigue, with many buyers postponing purchases due to rising costs. These cuts not only make MG’s range more affordable but also create urgency for bookings. Even if rivals follow suit later in September, MG will have captured the early movers.
The long-term question is whether this early advantage translates into sustained sales. With an updated price sheet across dealerships and digital platforms, MG appears prepared. The company’s ability to meet demand and maintain service quality will determine whether this head start becomes a lasting gain.