How Much Have Renault's Prices Dropped After GST Reforms?
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Synopsis
In a remarkable decision, Renault India has announced significant reductions in car prices following the introduction of GST 2.0. Discover how these changes impact popular models like the Kwid, Triber, and Kiger, and what it means for customers looking for affordable vehicles this festive season.
Key Takeaways
- Renault India has lowered car prices significantly following GST 2.0.
- Bookings at revised prices are open now.
- Price cuts range up to Rs 96,395 across selected models.
- New GST rates for ICE vehicles are either 18% or 40%.
- This move aims to boost demand during the festive season.
New Delhi, Sep 6 (NationPress) Renault India has made a bold move by announcing substantial price cuts on its vehicles this Saturday, in light of the GST 2.0 implementation that allows the company to transfer the complete benefits to its customers. Prices for three of its models – Kwid, Triber, and Kiger – have been reduced by up to Rs 96,395.
With this adjustment, the Kwid now starts at Rs 4,29,900 (ex-showroom), while both the new Triber and the new Kiger have their prices beginning at Rs 5,76,300 (ex-showroom).
These new prices will be effective for all deliveries made on or after September 22; however, customers can make bookings at the updated rates right away at Renault dealerships.
"By passing on the full GST 2.0 benefits, we demonstrate our unwavering dedication to our customers. We are confident that this timely initiative will not only enhance accessibility to our vehicles but also stimulate demand during the festive season," stated Venkatram Mamillapalle, Managing Director of Renault India.
This announcement follows Tata Motors' confirmation that it will also extend the complete benefits of the new GST rates, effective from September 22. Consequently, the Tiago will experience price reductions of up to Rs 75,000, while the Nexon will be cheaper by up to Rs 1,55,000.
According to the new GST 2.0 structure, all internal combustion engine (ICE) vehicles are now taxed at either 18 percent or 40 percent.
Smaller vehicles, including hatchbacks, compact sedans, and compact SUVs, fall under the 18 percent category, whereas mid-size, larger, and luxury models are subject to 40 percent. Previously, ICE vehicles faced a 28 percent GST plus an extra compensation cess that ranged from 1 percent to 22 percent, depending on their size and engine capacity.
For electric vehicles, the GST rate remains stable at 5 percent, whereas hydrogen fuel cell vehicles (FCEVs) have enjoyed a reduction from 12 percent to 5 percent.
Other major automobile players like Mahindra and Mahindra, Maruti Suzuki, and others are expected to make similar moves before the new GST rates take effect on September 22.
Point of View
Renault India's decision to reduce prices reflects a significant shift in the automotive market following the GST 2.0 reforms. This move not only benefits consumers but also showcases Renault's commitment to remain competitive. As other car manufacturers are likely to follow suit, the overall impact on the market could stimulate demand, especially during the festive season.
NationPress
20/09/2025
Frequently Asked Questions
What models are affected by the price cuts?
The price reductions apply to Renault's Kwid, Triber, and Kiger models.
When will the new prices take effect?
The updated prices will be effective for all deliveries starting September 22.
How much can customers save on these models?
Customers can save up to Rs 96,395 on select models.
What is the GST rate for ICE vehicles now?
Under the new GST 2.0 framework, ICE vehicles are taxed at either 18% or 40%.
Are electric vehicle GST rates changing?
No, the GST rate for electric vehicles remains unchanged at 5%.
