The city’s automobile market saw a sharp rise in sales in Oct 2025 after a Goods and Services Tax cut on vehicles, with new registrations jumping by 37.8 per cent compared to Aug 2025.
The reduction in GST rates, which took effect on Sept 22, acted as an immediate stimulus for both first-time buyers and those who wanted to upgrade their vehicles.
Data from the city’s four major Regional Transport Offices showed registration of vehicles rose from 8,485 in Aug to 11,698 in Oct. PVD (Beltala), the busiest RTO, recorded a 36.8 per cent increase in registration, from 3,182 to 4,355. Kasba and Salt Lake saw a 24 per cent (2,198 to 2,726) and 23.8 per cent (2,198 to 2,720) rise, respectively. Behala posted more than double increase — from 907 to 1,897.
Dealers reported that the GST cut reduced the prices of mass-market hatchbacks and sedans by up to ₹1 lakh and that of luxury models by up to ₹30 lakh.
The combined Oct sales of eight major brands — Maruti Suzuki, Hyundai, Tata Motors, Mahindra, Kia, Toyota, Skoda and Renault — rose by 43 per cent , from 4,747 units in Aug to 6,794 in Oct.
Maruti Suzuki saw a 42.5 per cent increase, selling 3,166 cars in Oct compared with 2,222 in Aug. Hyundai surged 60 per cent to 1,415 cars, Tata Motors sold 736 units (up from 608), and Mahindra sold 736 SUVs (up from 445).
Kia, Toyota, Skoda and Renault also reported substantial gains.Industry insiders attributed the Oct boom to the GST cut as well as festive-season demand and the heavy rain on Sept 23, which rendered hundreds of vehicles beyond repair, forcing replacements. Some manufacturers pre-announced lower prices before the GST cut took effect, triggering a 15-20 per cent rise in sales in Sept.
Subhendu Mondal, president of the Automobile Welfare Association, said the price revision “lured even those who did not have any immediate requirement of a car,” adding that dealers offered aggressive discounts to clear pre-GST stock. “The deals were so good that many customers who had no plan to upgrade rushed to buy,” he said.
Industry sources estimated that vehicle sales in Kolkata since Sept 22 had crossed 10,000 units, far exceeding the normal 15-18 per cent festive-season rise. An additional 5 per cent buyers were compelled to replace cars damaged in the Sept floods.
The combined sales and registration figures confirm that the GST cut led to one of the most buoyant months the city’s auto market has experienced in years.
