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Reduced Vehicle Prices for Renault: Up to ₹96,395 Decrease Scheduled from September 22 for GST 2.0

Renault India lowers vehicle prices by up to ₹96,395 following GST rate reduction, boosting value for buyers.

Reduced Vehicle Costs for Renault: Up to ₹96,395 Price Drop Starting from Sep 22 (GST 2.0)
Reduced Vehicle Costs for Renault: Up to ₹96,395 Price Drop Starting from Sep 22 (GST 2.0)

Reduced Vehicle Prices for Renault: Up to ₹96,395 Decrease Scheduled from September 22 for GST 2.0

In a significant move for the automobile industry, the revised Goods and Services Tax (GST) structure for automobiles was published on September 6, 2025. The GST Council, in its latest meeting, approved limiting slabs to 5% and 18%, bringing much-needed relief to vehicle manufacturers and customers alike.

Following the GST revision, Tata Motors has announced a price cut of between ₹65,000 and ₹1.45 lakh on its passenger vehicles. This reduction is effective from September 22, 2025, and will be applied to all deliveries made on or after this date.

The price of the Tata Triber will come down by ₹80,195, while the Tata Kiger will see a reduction of up to ₹96,395. These price cuts aim to pass on the full benefit of the GST reduction to customers.

Similarly, Renault India has announced a price reduction for its vehicles. The price of the Renault Kwid, for instance, will come down by up to ₹55,095. Renault India's Managing Director, Venkatram Mamillapalle, stated that passing on the full GST 2.0 benefit is a reflection of their unwavering commitment to customers.

The revised GST structure will benefit small hybrid cars, with petrol, LPG, and CNG vehicles of less than 1,200 cc and not more than 4,000 mm length, as well as diesel vehicles of up to 1,500 cc and 4,000 mm length, moving to the 18% GST slab from the current 28%. Motorcycles up to 350 cc will also be taxed at a lower GST of 18% against the current 28%.

However, all automobiles above 1,200 cc and longer than 4,000 mm as well as motorcycles above 350 cc and racing cars will be charged with a 40% GST levy.

Meanwhile, Maruti Suzuki has announced that it will reduce the prices of its vehicles by up to 96,395 Indian Rupees to pass the full benefit of the recent GST reduction to customers.

The new prices will be effective from the first day of Navratri, offering a festive season bonus to customers. This move is expected to boost the sales of automobiles in the coming months.

In conclusion, the revised GST structure for automobiles is a welcome change for both manufacturers and customers. The price cuts announced by Tata Motors, Renault India, and Maruti Suzuki are a testament to the industry's commitment to passing on the benefits of the GST reduction.

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