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New Delhi: Honda Cars India has announced big price cuts across its popular models after the GST rate reduction, just ahead of the festive season. From September 22, 2025, the company will lower ex-showroom prices of the Amaze, City and Elevate by up to ₹95,500, making them more affordable for buyers gearing up for festive purchases.
The announcement comes as the auto industry prepares for record demand during Navratri and Diwali. With GST reforms making small cars, two-wheelers and auto parts cheaper, customers stand to benefit from both policy changes and festive deals at dealerships.
According to Honda, the third-generation Amaze will witness the steepest reduction of ₹95,500. The second-generation Amaze will get cheaper by up to ₹72,800. The Elevate, Honda’s mid-size SUV, will see a cut of up to ₹58,400, while the City sedan will become more affordable by ₹57,500.
For a family eyeing its first car, this could mean finally moving from a two-wheeler to a compact sedan, as these revised numbers make the car feel much closer within reach again.
Kunal Behl, Vice President of Marketing and Sales at Honda Cars India, said the GST reforms arrived at the right time for the industry and customers. He noted that vehicles would now be more accessible and the move would give a strong push to festive season demand.
From September 22, small cars, motorcycles up to 350cc, three-wheelers, buses, trucks and ambulances will be taxed at 18%, down from 28%. This translates to nearly 10% cheaper prices for budget-friendly cars such as the Maruti Suzuki Alto, Hyundai Grand i10 and Tata Tiago. Two-wheeler buyers of models like the Honda Shine, Bajaj Pulsar, Hero Splendor and Honda Activa will also benefit.
Auto parts too are under a uniform 18% slab now, solving earlier tax classification disputes. Petrol and diesel hybrids under the 1,200cc (petrol) and 1,500cc (diesel) limits with length under 4,000mm are also included in this category.
On the flip side, large SUVs, luxury vehicles and motorcycles above 350cc will attract 40% GST, making high-end models like Royal Enfield 650cc, KTM 390 and Harley-Davidson bikes costlier.
Honda dealerships will begin deliveries during the Navratri period, but customers booking now can lock in both post-GST reduction prices and festive offers. Dealers are already reporting a surge in enquiries, as families want their cars delivered on auspicious dates.
