- MG Motor India will fully pass on GST benefits, with price reductions for its SUVs starting September 7, 2025.
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Check OffersJSW MG Motor India has announced that it will fully pass on the benefits of the revised Goods and Services Tax (GST) to customers. From September 7, 2025, the company’s ICE SUV lineup, the Astor, Hector, and Gloster, will be available at reduced prices under the new tax regime.
How much will customers save on MG SUVs?
The updated prices deliver meaningful savings. Buyers of the MG Astor will now save up to ₹54,000. The Hector, depending on the variant, comes with benefits of up to ₹1.49 lakh, while the flagship Gloster sees the highest relief at up to ₹3.04 lakh. The exact benefit varies depending on the model and trim level.
Vinay Raina, Chief Commercial Officer of JSW MG Motor India, said the GST reform directly improves affordability and builds consumer confidence. He explained that MG’s decision ensures buyers feel the immediate value of the tax cut. With demand expected to strengthen during the festive season, the company aims to make its SUVs more accessible and attractive.
Are there any additional customer offers?
Beyond the price cuts, MG is offering 100 per cent on-road funding and a three-month EMI holiday. These schemes provide added financial flexibility and aim to encourage new buyers.
What is GST 2.0 and how does it impact cars?
The new Goods and Services Tax framework, known as GST 2.0, came into effect last month. Announced by Prime Minister Narendra Modi, it replaces the earlier multi-slab system with two simple slabs of 5 per cent and 18 per cent, while a flat 40 per cent rate applies to luxury goods such as larger cars and SUVs. Importantly, the compensation cess that previously sat on top of GST has been scrapped.
For smaller cars and two-wheelers, this means lower taxes and more affordable prices. For larger vehicles over four metres in length with petrol engines above 1,200cc or diesel engines above 1,500cc, the overall tax burden has also eased slightly. Earlier, these models were taxed at 45 to 50 per cent, but under the new system, they fall into the 40 per cent slab. In practical terms, GST 2.0 delivers modest relief on bigger vehicles while simplifying the structure for the entire automobile sector.
Check out Upcoming Cars in India 2025, Best SUVs in India.
First Published Date: 11 Sept 2025, 15:10 pm IST
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