📢 Mahindra Announces Full GST 2.0 Benefit
Mahindra & Mahindra has rolled out major price reductions on its petrol and diesel-powered SUVs, delivering the full benefits of India’s GST 2.0 overhaul directly to customers starting September 6, 2025. Instead of waiting for the GST changes to take effect officially on September 22, Mahindra took the lead to lower prices early, branding the move as “Action. Not just promises.” Hindustan Times.
Why the Drop?
At the 56th GST Council meeting on September 3, 2025, Finance Minister Nirmala Sitharaman approved a revision of tax rates: smaller cars now attract 18% GST (down from 28%), and larger SUVs are taxed at a flat 40% with cess removed, down from around 50% previously MahindraBusiness StandardAutocar India.
How Much You Save
Here’s a snapshot of the SUV price cuts announced:
| Model | Savings (₹ lakh) |
|---|---|
| XUV3XO (Diesel) | 1.56 |
| XUV700 | 1.43 |
| Scorpio-N | 1.45 |
| Thar Roxx | 1.33 |
| Thar 2WD Diesel | 1.35 |
| Thar 4WD Diesel | 1.01 |
| Scorpio Classic | 1.01 |
| Bolero / Neo | 1.27 |
| XUV3XO (Petrol) | 1.40 |
All these reductions are effective from September 6 and apply across Mahindra’s ICE SUV line—including online and dealer prices www.ndtv.comMahindraNavbharat TimesMoneycontrol.
What This Means for Buyers
- Mega savings ahead of festival season: Alert car buyers can lock-in lower ex-showroom prices before the official GST rollout on Sept 22.
- Better value across popular SUVs: Mahindra’s bestsellers like Thar, XUV3XO, Scorpio-N, and XUV700 now feel more affordable.
- Leadership in buyer goodwill: Anand Mahindra’s comment “Action. Not just promises.” underscored the company’s commitment to consumers Hindustan Times.
Bigger Picture: Auto Sector Gains Momentum
Mahindra led the early wave of automakers passing on GST relief. Other major players—Tata, Toyota, Hyundai, Skoda, Renault, Audi, BMW—followed suit, with price cuts ranging from ₹65,000 up to ₹11 lakh depending on model and brand The Economic Times+1Business StandardThe Financial ExpressAutocar India. The policy change has boosted investor sentiment in auto stocks, with Mahindra shares rising sharply after the GST reform was unveiled Reuters.
Looking Ahead
- Festive-season boost expected: With prices slashed early, demand for SUVs is likely to surge as festivals kick in.
- Dealership & online updates: All platforms now reflect the lowered prices—no waiting needed.
- Tax clarity for consumers: GST 2.0 provides a cleaner, more predictable pricing structure for both buyers and manufacturers.
Mahindra’s move to cut prices by up to ₹1.56 lakh right away positions it as the first among Indian automakers to quickly respond to GST 2.0 reforms. With immediate savings, clearer pricing, and strong brand messaging, it offers a standout value proposition— especially as the festive car-buying window opens.
