Mahindra Slashes SUV Prices by up to ₹1.56 Lakh Following GST Reforms
8th September 2025, Kathmandu
In a significant move set to revitalize the Indian automotive market, Mahindra & Mahindra Ltd. has announced a massive price reduction across its lineup of internal combustion engine (ICE) SUVs.
Mahindra Price Cut
The company confirmed that it is passing on the full benefits of the recent GST 2.0 reforms directly to its customers, with price cuts reaching up to an impressive ₹1.56 lakh on select models.
This strategic decision by Mahindra follows the GST Council’s alandmark announcement to rationalize tax rates on automobiles, a move that has been widely hailed as a major relief for the beleaguered auto sector.
The price adjustments, which came into effect on Saturday, are expected to significantly boost consumer sentiment and drive demand, especially as the country gears up for the festive season.
The price slashes cover some of Mahindra’s most popular and sought-after models, making them more accessible to a wider range of buyers.
The much-loved Bolero Neo now boasts a price benefit of up to ₹1.27 lakh, while the adventure-ready Thar has seen significant reductions. The Thar 2WD (diesel) is now cheaper by ₹1.35 lakh, and its 4WD counterpart has a price reduction of ₹1.01 lakh. Even the newly launched Thar Roxx is now more affordable with a price drop of ₹1.33 lakh.
For those in the market for a more premium offering, the price cuts are equally substantial. Both the Scorpio Classic and the modern Scorpio-N are now more competitive, with reductions of ₹1.01 lakh and ₹1.45 lakh, respectively.
The popular XUV700, known for its advanced features and robust performance, is now available with a price cut of ₹1.43 lakh. In the compact SUV segment, both petrol and diesel variants of the XUV3XO have become more attractive, with price reductions of ₹1.40 lakh and ₹1.56 lakh, respectively.
This proactive step by Mahindra & Mahindra mirrors similar actions taken by other major players in the automotive industry, including luxury car makers like Mercedes-Benz and BMW.
The collective response to the GST reforms underscores a unified industry effort to capitalize on the new tax structure and stimulate a market that has been struggling with slow growth and high costs.
The price transparency promised by Mahindra, with updated prices available at all dealerships and on their digital platforms, ensures that customers can easily verify the benefits they are receiving.
Analysts are optimistic that this trend of price reductions will not only fuel sales during the upcoming holidays but also contribute to a sustained recovery and growth for the entire auto industry in the long run.
The GST 2.0 reforms, by making vehicles more affordable, are seen as a critical step in empowering consumers and encouraging economic activity.
For a company like Mahindra, which has a strong foothold in the SUV market, these price cuts are a powerful tool to strengthen its market position and attract new buyers who may have been waiting for the right opportunity to purchase a vehicle.
This move solidifies the company’s commitment to its customers and its role as a key driver of India’s automotive sector.
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