Automotive News – Today’s Top Stories in India

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From big‑brand price cuts to tax changes that could shrink your monthly payment, the Indian auto market never sleeps. Below, we break down the headline that’s shaking up SUVs right now and explain how the new GST 2.0 rates will affect your next purchase.

Mahindra SUV Price Cut Explained

Mahindra just announced a hefty price reduction across its ICE SUV lineup. The discount ranges from Rs 1.01 lakh to Rs 1.56 lakh, kicking in on September 6, 2025. Models like the XUV3XO Diesel, Thar 2WD Diesel, Scorpio‑N, and the popular XUV700 are seeing the biggest drops.

Why the cut? The government lowered the GST rate for larger SUVs from 48% to 40% and trimmed the tax for some compact models from 31% to 18%. Mahindra passed the savings straight to the buyer, which means a lower ex‑showroom price without compromising on features.

If you were eyeing a Thar or an XUV700, now might be the perfect time to book a test drive. The reduced out‑the‑door cost could bring the vehicle within reach of a wider audience, especially first‑time SUV owners.

What GST 2.0 Means for Car Buyers

The new GST 2.0 regime is more than just a number change—it reshapes the whole cost structure of a vehicle. By moving larger SUVs into a lower tax bracket, the government aims to make premium utility vehicles more affordable. At the same time, compact SUVs benefit from the 18% rate, which is a significant relief for budget‑conscious shoppers.

Other manufacturers are watching closely. Tata Motors, for instance, has promised to reflect the GST benefits from September 22, 2025. Expect similar price adjustments across the market as companies scramble to stay competitive.

For you, the buyer, the key takeaway is simple: keep an eye on the tax slab your preferred model falls into. A lower GST rate can shave thousands off the final price, sometimes even more than a dealer discount.

In practical terms, compare the ex‑showroom price before and after GST changes, add on insurance, registration, and any optional accessories, then see how the total stacks up against your budget. It’s also worth asking the dealer if they can offer additional on‑road incentives to sweeten the deal.

Bottom line: the combination of Mahindra’s price cut and the GST 2.0 shift is creating a buyer’s market for SUVs right now. Whether you’re after a rugged Thar for off‑road adventures or a family-friendly XUV700, the timing couldn’t be better.

Stay tuned to our Automotive News page for more updates on price movements, new launches, and policy changes that could affect your next ride. We’ll keep the info clear, practical, and right on the money.