Mahindra & Mahindra Ltd. (M&M), one of India’s leading SUV manufacturers, has announced significant price cuts on its vehicles following the recent reduction in Goods and Services Tax (GST) rates by the central government. Starting September 6, customers can expect savings of up to ₹1.6 lakh on select models.
GST Reduction Brings Relief to Auto Sector
The government recently slashed GST on diesel motor vehicles with an engine capacity of up to 1500cc and a length not exceeding 4000mm from 28% to 18%. Similarly, small cars and motorcycles up to 350cc also benefited from this cut. For larger petrol and diesel cars, the effective tax has been reduced from nearly 50% to a flat 40%.
Impact on Mahindra’s SUV Portfolio
Since Mahindra manufactures cars exclusively in the SUV segment, the revised GST structure directly impacts several of its popular models. Compact SUVs with smaller engine capacities, such as the XUV300 and certain variants of the Bolero and Thar, will see the biggest price benefits. Larger SUVs, while still taxed at a higher rate, will also enjoy noticeable price corrections due to the revised cess structure.
Customer-Centric Move Amid Competitive Market
By passing on the full GST benefit, M&M reaffirms its commitment to customer satisfaction and market competitiveness. With the auto sector facing pressures from rising input costs and evolving emission norms, this move is expected to boost buyer sentiment and increase showroom footfalls ahead of the festive season.
What This Means for Buyers
For car buyers, the timing could not be better. With discounts of up to ₹1.6 lakh on the table, Mahindra SUVs have become more affordable, particularly in the compact SUV category. Customers eyeing fuel-efficient yet powerful SUVs will now find greater value in their purchase.
