After Tata Motors, Mahindra cuts SUV prices post new GST rates; see list
This move follows the recent GST rate reduction on SUVs. Renault India has also announced similar price cuts for their vehicles
Mahindra & Mahindra (M&M) Ltd announced on Saturday (September 6) that it will pass on the full GST benefits to customers across its entire ICE SUV (Internal Combustion Engine Sport Utility Vehicle) portfolio, effective immediately.
Tata Motors, a day earlier on Friday, had made a similar declaration, stating it would pass on GST benefits to customers from September 22.
Also Read: Why new GST rates are a shot in the arm for auto industry
What Mahindra said
Mahindra’s decision comes even though the revised GST rates officially take effect only on September 22.
The company said benefits would be available to customers starting today, with model-wise price cuts ranging from Rs 1.01 lakh to Rs 1.56 lakh, depending on the SUV variant.
The announcement follows the 56th GST Council meeting held on Wednesday (September 3), chaired by Union Finance Minister Nirmala Sitharaman, which announced revised GST and cess rates on SUVs.
As per the revised structure, vehicles powered by petrol, LPG, or CNG with engine capacity below 1,200 cc and length not exceeding 4,000 mm, along with diesel vehicles up to 1,500 cc and 4,000 mm, will now attract 18 per cent GST.
Larger vehicles, those above 1,200 cc in petrol or 1,500 cc in diesel, and exceeding 4,000 mm in length, will be taxed at 40 per cent, the Council said.
Cars become cheaper
Mahindra announced that its ICE portfolio has become cheaper, with price cuts ranging from Rs 1.01 lakh for the Thar 4WD diesel and Scorpio Classic to Rs 1.56 lakh for the XUV 3XO diesel.
According to the revised rates, the Bolero/Neo is cheaper by Rs 1.27 lakh, while the XUV3XO petrol has seen a reduction of Rs 1.40 lakh.
The Thar 2WD diesel now costs Rs 1.35 lakh less, and the Scorpio-N has gained a price benefit of Rs 1.45 lakh. The company also confirmed that the Thar Roxx is cheaper by Rs 1.33 lakh and the XUV700 by Rs 1.43 lakh.
Also Read: 'With you cheering us on': Anand Mahindra reveals how he will take on Musk's Tesla
Tata Motors price cut
Tata Motors similarly announced that it will pass on the full benefit of the recent GST reduction on its cars and SUVs to customers, effective September 22, the date when the revised GST rates come into force.
The company said that after the implementation of the revised rates, its cars and SUVs would be cheaper in the range of Rs 65,000 for a Curvv to Rs 1.55 lakh for a Nexon.
A Tiago will see a reduction of up to Rs 75,000, while a Tigor will be cheaper by up to Rs 80,000. The Altroz will see a price drop of up to Rs 1.10 lakh and the Punch by up to Rs 85,000.
Tata Motors also stated that the Harrier would be cheaper by up to Rs 1.40 lakh and the Safari by up to Rs 1.45 lakh.
Also Read: India's automotive industry fantastic, future-ready: PM Modi at global expo
Renault joins the league
Renault India on Saturday announced that it will reduce prices of its vehicles by up to Rs 96,395, passing on the full benefit of the recent GST rate cut to buyers.
The revised prices will apply to all deliveries made on or after September 22, which also marks the beginning of Navratri, the company said in a statement.