Mercedes-Benz India cuts prices by up to ₹10 lakh after GST Council fixes 40% uniform tax on luxury cars; EVs to remain under 5% bracket.Mercedes-Benz India has announced price cuts of 5–8 per cent, or up to ₹10 lakh depending on the model, after the GST Council decides to implement a uniform 40 per cent tax on luxury cars from September 22, 2025, with the full benefit being passed on to customers, while electric vehicles will continue under the lower 5 per cent GST bracket.
Commenting on the revision, Mercedes-Benz India noted, “In line with our commitment to our customers, we are pleased to share that Mercedes-Benz India will be passing on the entire benefit of the GST reduction directly to the end customers.” Let’s take a look at the reduced prices of the models.
Mercedes-Benz’s most accessible offerings, the GLA SUV and the A-Class Limousine, have both benefited from the revised GST rate. The GLA 220d 4MATIC AMG Line now carries a revised sticker price of ₹52.70 lakh, reflecting a reduction of about ₹4.20 lakh from its earlier ₹56.50 lakh tag. Similarly, the A200d has become more affordable by nearly ₹3 lakh, and is now priced at ₹45.95 lakh compared to ₹48.55 lakh previously. This adjustment narrows the gap with the top-end versions of premium mainstream cars, making them attractive options for customers stepping into the luxury segment for the first time. Price cuts extend to mid-segment models such as the C-Class sedan and GLC SUV, both of which play a critical role for Mercedes in India. The C-Class sees an average decrease of ₹5–6 lakh across variants. The GLC SUV sees an average decrease of ₹6–7 lakh across variants. Talking about the GLE, the 450 4MATIC now comes in at ₹1.07 crore, down by roughly ₹8 lakh from its earlier price of ₹1.15 crore. Meanwhile, the GLE 300 4MATIC AMG Line has seen a reduction of about ₹5 lakh, with its price revised to ₹73.95 lakh from ₹79.25 lakh.
Among the most notable adjustments is the E-Class Long Wheelbase, a consistent bestseller for Mercedes in India. The E200 Petrol is now priced at ₹78.5 lakh (down ₹6.2 lakh). The E220d Diesel is now priced at ₹80.5 lakh (down ₹5.5 lakh). The E450 4MATIC AMG Line is now at ₹91.7 lakh (down ₹6.2 lakh). Along with the price drop in the E Class, the company has also introduced a new Verde Silver paint to commemorate its almost a year-long run.
At the top end, the S-Class and GLS SUV deliver the highest cash savings under the revised pricing. The S 450 4MATIC has received a reduction of about ₹11 lakh, bringing its price down to ₹1.88 crore from the earlier ₹1.99 crore. Likewise, the GLS 450d AMG Line is now tagged at ₹1.34 crore, following a cut of nearly ₹10 lakh from its previous ₹1.44 crore price.
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