The automobile industry in India is witnessing an exciting transformation following the government’s announcement of GST 2.0, and consumers are the biggest winners. Several top brands, including MG Motor, Hyundai, Toyota, Renault, and luxury names like Mercedes-Benz and Audi, are slashing prices across their product lines to pass on tax benefits to customers. The buzz is real, and the timing couldn’t be better, just before the festive season, when buying a new car is on everyone’s mind.
MG Motor India is leading this charge with a bold move to cut prices by up to Rs 3.04 lakh on its popular ICE models. As of September 7, 2025, all bookings will be eligible for this reduced pricing. The move is part of the government’s effort to rationalise GST and make vehicles more affordable without compromising on luxury or performance.
Which MG SUVs Are Getting Cheaper?
MG’s SUV lineup, Astor, Hector, and Gloster, is set to become more accessible than ever.
- The Astor, MG’s entry-level SUV, is now cheaper by Rs 54,000, thanks to a drop from the 45% to the 40% tax slab.
- The mid-size Hector has seen reductions of up to Rs 1.49 lakh, benefiting both petrol and diesel variants.
- The flagship Gloster, once taxed at 50% under the luxury slab, now enjoys a massive Rs 3.04 lakh price cut, a deal that makes luxury SUV ownership more attainable.
This aggressive pricing strategy is more than just numbers; it’s about trust, accessibility, and making ownership easier for Indian families. MG Motor’s Chief Commercial Officer, Vinay Raina, commented, 'We want our customers to feel the immediate benefit of these reforms. It’s about enabling ownership and making our SUVs more attractive at the right time.'
Which Other Car Brands Are Cutting Prices?
MG isn’t alone in this pricing revolution. Hyundai, Toyota, Renault, Nissan, and Skoda have also announced cuts, aiming to ride the wave of increased demand. Even luxury brands like Mercedes-Benz and Audi are lowering prices, making premium vehicles more within reach.
Why Are EV Prices Not Reduced?
Interestingly, electric vehicles haven’t seen similar reductions. MG’s Comet and Windsor, along with its luxury EVs Cyberster and M9, are unaffected as the government retains a 5% GST on EVs to encourage sustainable mobility.
What Does This Mean for Car Buyers?
The combination of reduced taxes and festive season demand is driving a new wave of consumer optimism. Buyers are no longer hesitant, luxury is becoming more accessible, and the industry is embracing change. GST 2.0 is not just a tax reform; it’s a catalyst for growth, innovation, and broader vehicle ownership across income groups.
With this wave of price cuts, the automotive market is poised for a boom. Whether you're a first-time buyer or a luxury car enthusiast, there has never been a better time to upgrade your ride.
Also Read: Top 10 Best EV Cars in India Under Rs 20 Lakh for 2025
About the Author:
Akanksha Sinha
I’m Akanksha Sinha, a dedicated Sports Content Writer and Blogger with proven expertise in creating engaging sports blogs, news stories, and entertainment-driven articles. With a passion for storytelling and a strong command of research, I strive to deliver content that not only informs but also captivates readers across all age groups. At Possible11, she covers fantasy sports, match previews, and trending topics, making her a trusted voice for sports enthusiasts.
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