Toyota Slashes Prices After GST Cut: Fortuner Cheaper By Nearly Rs. 3.5 Lakh
Toyota Kirloskar Motor has announced major price reductions across its lineup following the GST Council’s recent tax reforms. Savings range from ₹48,700 to ₹3.49 lakh depending on the model, with revised prices effective from September 22, 2025. The company says the full benefit of the tax cut will be passed on to customers.
Lower Prices Across Segments
The impact of the GST reduction is visible across Toyota’s range. The Glanza hatchback is now up to ₹85,300 cheaper, making it more attractive for first-time buyers. The newly launched Taisor compact SUV gets a cut of up to ₹1.11 lakh, bringing it closer to rivals like the Maruti Brezza and Hyundai Venue.
In the MPV category, the Innova Crysta is reduced by up to ₹1.80 lakh, while the hybrid Innova Hycross sees a cut of up to ₹1.15 lakh. Both models are expected to draw stronger demand among families looking for large seven-seater options.
The Urban Cruiser Hyryder compact SUV becomes cheaper by up to ₹65,400, improving its position against the Maruti Grand Vitara, Hyundai Creta, and Kia Seltos.
Big Reductions On Flagship Models
Toyota’s largest price cut comes on the Fortuner, down by as much as ₹3.49 lakh. Its premium Legender variant follows closely with a cut of up to ₹3.34 lakh. These reductions strengthen Toyota’s hand in the premium SUV market, where the Fortuner has long been a leader.
The Hilux pickup truck, aimed at lifestyle and commercial buyers, is cheaper by up to ₹2.52 lakh. The Camry hybrid sedan sees a ₹1.01 lakh reduction, which could boost its appeal against German luxury rivals. Even the Vellfire, Toyota’s imported luxury MPV, gets a price drop of up to ₹2.78 lakh.
These reductions are expected to make Toyota’s higher-end products more accessible while protecting their positioning in competitive premium segments.
Big Gains For Made-in-India Models
Toyota produces most of its volume models locally at its two plants in Bidadi, Karnataka, with annual capacity of over 3.4 lakh units. Locally built models like the Innova, Fortuner, and Hyryder benefit the most from the new GST structure. Imported models such as the Vellfire also see reductions, though the impact is less pronounced compared to domestic models.
The company believes the simplified tax system will boost consumption while supporting its hybrid-led strategy. Models such as the Camry and Hycross continue to benefit from the lower 5% GST rate on hybrids, strengthening Toyota’s long-term focus on electrification.
Toyota’s extensive dealer and service network is expected to help implement the new pricing smoothly. The company says it is prepared for a rise in demand and will use its strong supply chain to ensure availability.
A Broad-Based Reduction
With reductions spanning entry-level hatchbacks to premium SUVs and MPVs, Toyota has ensured the GST benefits are visible across every segment it operates in. Entry-level cars gain significant percentage improvements in affordability, while premium models see large absolute cuts.
The success of these price drops will depend on how quickly buyers respond, but Toyota’s strong reputation for reliability and service puts it in a good position to translate lower prices into sales growth.