Following the latest GST reforms, several leading automakers have announced that they will pass on the tax benefits directly to customers. This move is expected to make vehicles more affordable, increase demand in the automotive sector, and provide a much-needed boost to overall industry growth ahead of the festive season.
Here’s the list of companies that have announced passing on GST benefits to their customers
1. Mahindra & Mahindra Ltd
As per the new GST reforms, Mahindra cars now offer customers savings of up to 13 percent. Sub-4 metre petrol cars see GST reduced from 29 percent to 18 percent (11 percent savings), sub-4 metre diesel cars from 31 percent to 18 percent (13 percent savings), and larger SUVs from up to 50 percent to 40 percent (10 percent savings).
As per the revised GST rates, Mahindra SUVs now offer price cuts ranging from around Rs. 1.01 lakh to Rs. 1.56 lakh, depending on the model. For instance, the Bolero and Bolero Neo see savings of Rs. 1.27 lakh, the XUV 3XO (Diesel) up to Rs. 1.56 lakh, the Thar RWD (Diesel) Rs. 1.35 lakh, the Scorpio-N Rs. 1.45 lakh, and the XUV700 Rs. 1.43 lakh. The exact benefit may vary by variant, so customers are advised to check with dealerships for precise savings.
About the Company
Mahindra & Mahindra Ltd is India’s most diversified automobile companies, operating across 2- and 3-wheelers, passenger and commercial vehicles, tractors, and earthmovers, with a wide presence in sectors like financial services, IT, hospitality, defence, energy, aerospace, and more through its subsidiaries and group companies.
With a market capitalization of Rs. 4,60,627.9 crore, the shares of Mahindra & Mahindra Ltd were trading at Rs. 3,704.20, up by 4.01 percent from its previous closing price of Rs. 3,561.30. The stock made an intraday high of Rs. 3,715.20 in today’s trading session.
The company reported Q1FY26 revenue of Rs. 45,529 crore, up 22.3 percent year-on-year (YoY) from Rs. 37,218 crore and 6.9 percent quarter-on-quarter (QoQ) from Rs. 42,599 crore. Profit for Q1FY26 stood at Rs. 4,377 crore, rising 23.4 percent YoY from Rs. 3,546 crore and 23.6 percent QoQ from Rs. 3,542 crore, reflecting strong growth in both topline and bottomline performance.
2. Hyundai Motor India Ltd
The GST reforms, introduced during the 56th GST Council meeting, reduce GST on small cars (under 4 metres, petrol engines up to 1,200cc or diesel up to 1,500cc) to 18 percent from 28 percent, while larger cars will now attract 40 percent GST without additional cess. Hyundai called the move a boost for the auto industry, making personal mobility more affordable and aiming to strengthen customer sentiment and drive festive season sales.
Hyundai Motor India has announced that it will pass on the full benefits of the recent GST reforms to customers, cutting prices across its passenger vehicle lineup effective September 22, ahead of the festive season.
Cars and SUVs will become cheaper by up to Rs. 2.4 lakh, with the highest reduction on the Hyundai Tucson (Rs. 2,40,303). Popular models including the Grand i10 Nios, Aura, Exter, i20, Venue, Verna, Creta, and Alcazar will also see price cuts ranging from around Rs. 60,000 to over Rs. 1.2 lakh.
About the Company
Hyundai Motor India Limited was incorporated in May 1996 and is a subsidiary of Hyundai Motor Company. It is the world’s third-largest automobile manufacturer by passenger vehicle sales. HMIL offers sustainable, technology-driven mobility solutions through a wide network of 1,366 sales and 1,550 service points.
With a market capitalization of Rs. 2,07,425.49 crore, the shares of Hyundai Motor India Ltd were trading at Rs. 2,552.80, up by 0.44 percent from its previous closing price of Rs. 2,541.70. The stock made an intraday high of Rs. 2,620.10 in today’s trading session
In Q1FY26, the company reported revenue of Rs. 16,413 crore, down 5.4 percent YoY from Rs. 17,344 crore in Q1FY25 and 8.5 percent QoQ from Rs. 17,940 crore in Q4FY25. Net profit stood at Rs. 1,369 crore, declining 8.1 percent YoY from Rs. 1,490 crore and 15.2 percent QoQ from Rs. 1,614 crore, indicating a slowdown in both topline and bottom-line growth compared to previous periods.
3. Tata Motors Ltd
Tata Motors will pass on the full benefit of the GST reduction to customers, with commercial vehicle prices expected to drop between Rs. 30,000 and Rs. 4.65 lakh from September 22, 2025. The company has also announced price cuts in its passenger vehicle portfolio, including Tiago by Rs. 75,000, Tigor by Rs. 80,000, Altroz by Rs. 1.1 lakh, Punch by Rs. 85,000, Nexon by Rs. 1.55 lakh, Curvv by Rs. 65,000, Harrier by Rs. 1.4 lakh, and Safari by Rs. 1.45 lakh.
About the Company
Tata Motors Group, part of the Tata Group, is a globally recognized automobile manufacturer producing a wide range of vehicles including cars, SUVs, trucks, buses and defence vehicles.
It operates across several countries through subsidiaries and joint ventures such as Tata Daewoo in South Korea and Jaguar Land Rover in the United Kingdom. The company serves multiple segments, including commercial, passenger, luxury and electric vehicles.
With a market capitalization of Rs. 2,65,528.09 crore, the shares of Tata Motors Ltd were trading at Rs. 721.10, up by 4.25 percent from its previous closing price of Rs. 691.70. The stock made an intraday high of Rs. 722 in today’s trading session
In Q1FY26, the company reported revenue of Rs. 1,04,407 crore, down 2.5 percent YoY from Rs. 1,07,102 crore in Q1FY25 and 12.6 percent QoQ from Rs. 1,19,503 crore in Q4FY25. Profit declined sharply to Rs. 4,003 crore, a 62.2 percent drop YoY from Rs. 10,587 crore and a 53.2 percent fall QoQ from Rs. 8,556 crore, reflecting significant margin pressure despite moderate revenue contraction.
Written by Akshay Sanghavi
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