Kia india has announced that it will pass on the entire benefit of the recent GST reduction to customers across its ICE (Internal Combustion Engine) portfolio. The move takes effect from 22 september 2025, aligning with the government’s reforms to make vehicles more affordable.
1. GST Reduction Across Passenger Vehicles
- Petrol & petrol Hybrid, LPG & cng cars: Up to 1200 cc & 4000 mm length – GST reduced from 28% to 18%
- Diesel & diesel Hybrid cars: Up to 1500 cc & 4000 mm length – GST reduced from 28% to 18%
- Impact: Consumers save substantial amounts, making personal mobility more affordable
2. Kia India’s Statement on GST Benefits
Gwanggu Lee, Managing director & CEO of Kia india, said:
"We welcome the government of India's visionary citizen-centric reforms…We are proud to pass on the full benefit of the GST rate reductions to our customers, ensuring more affordability and greater accessibility."
He emphasized that the reform simplifies taxation, supports sustainable economic growth, and is expected to boost consumer sentiment during the festive season.
3. hyundai Follows Suit
Hyundai Motor india Limited also announced it will pass on the full GST benefit.
- Estimated savings: Rs 73,808 to Rs 2.40 lakh depending on the car variant
- Unsoo Kim, MD of hyundai india, said:
"This reform empowers millions of customers by making personal mobility more affordable and accessible…We remain committed to delivering value, innovation, and joy of driving."
4. Boost for the Automobile Sector
The GST reform is expected to:
- Increase demand during the festive season
- Strengthen the automotive sector, one of India’s largest economic contributors
- Encourage first-time buyers and budget-conscious customers to invest in personal vehicles
5. Key Benefits for Customers
- More affordable vehicle ownership due to lower GST
- Wider access to new car models
- Simplified tax structure makes pricing transparent and predictable
- Enhanced festive offers and deals from carmakers
6. Final Takeaway
Kia india and hyundai passing on full GST benefits reflects the automotive sector’s alignment with government reforms. Consumers stand to gain through cost savings, easier vehicle access, and increased affordability, making this the perfect time to buy a car as india heads into the festive season.
Disclaimer:
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