Gst 2.0 Mercedes-benz gets Rs 10 Lakh Price Cuts

Mercedes Benz has announced significant price reductions across its lineup in India following the GST Council’s changes to luxury car taxation. With the introduction of a flat 40 percent GST rate on luxury vehicles effective September 22, 2025, Mercedes Benz has lowered ex-showroom prices by 5– 8 percent. This translates into savings of Rs 5– 10 lakh depending on the model giving buyers a clear financial advantage just ahead of the festive season

E-Class Takes the Lead in Price Cuts

The E Class Long Wheelbase one of the most popular Mercedes models in India, has received the largest adjustments in pricing making it more competitive against rivals like BMW 5 Series and Audi A6

• E200 Petrol– Now priced at Rs 78.5 lakh, down from Rs 84.7 lakh, a reduction of Rs 6.2 lakh
• E220d Diesel– New price is Rs 80.5 lakh, reduced from Rs 86 lakh, saving buyers Rs 5.5 lakh
• E450 4MATIC AMG Line– Now available at Rs 91.7 lakh down from Rs 97.9 lakh a drop of Rs 6.2 lakh

These price changes not only make the EClass more appealing in its segment but also strengthen its positioning as Mercedes Benz enters the festive season with attractive finance options including low EMI schemes and enhanced trade in deals

Entry Level Models Become Easier to Own

Mercedes Benz has also revised pricing for its entry level offerings including the GLA SUV and A-Class Limousine

• GLA SUV– The price reduction averages around Rs 4– 5 lakh depending on the variant. This adjustment is particularly important as the GLA acts as a key gateway model for first time luxury car buyers
• A Class Limousine– Similarly prices have been cut by roughly Rs 4– 5 lakh making it more competitive in the compact luxury sedan segment

By lowering the starting prices for these models, Mercedes-Benz is opening up opportunities for younger buyers and customers in tier 2 cities who are upgrading from premium hatchbacks or SUVs. These revisions aim to broaden the customer base and attract those who may have hesitated to enter the luxury segment due to high starting prices

Mid Range Cars Gain Better Value

The mid-tier models such as the C Class sedan and the GLC SUV have also seen notable price reductions. These cars are popular in the executive sedan and premium SUV categories where buyers often compare features and pricing across German brands

• C-Class– Price reductions range between Rs 5– 6 lakh across various trims improving value for buyers looking for luxury with performance
• GLC SUV– Prices now fall by Rs 6– 7 lakh on average making it a more appealing choice for families seeking a premium SUV with a balance of comfort and capability
• GLE SUV– The popular luxury SUV positioned above the GLC has also benefited with price cuts of Rs 7– 8 lakh depending on the variant. This makes the GLE more competitive in the premium full size SUV category, where it rivals models like BMW X5 and Audi Q7. The reduction enhances its appeal for families and professionals looking for a mix of space technology and brand prestige

These reductions come alongside recent updates to both models enhancing the overall attractiveness of Mercedes Benz’s midrange offerings.

Flagship Models See the Largest Absolute Savings

At the top end of the lineup Mercedes-Benz has made some of the most substantial price adjustments in terms of absolute rupees. The S-Class range have seen cuts reaching up to Rs 10 lakh.

• S-Class Variants– Price reductions of up to Rs 10 lakh depending on the trim make this flagship sedan more accessible to ultra luxury buyers

While the percentage reduction may appear modest for such high priced models the actual savings in rupees are substantial and can influence purchasing decisions especially during the peak festive buying period

How the GST 2.0 Revisions Affect Buyers

The GST driven adjustments benefit Mercedes-Benz customers across all segments- entry-level, mid-tier and flagship models. The changes ensure

• Entry level cars are more affordable attracting first time luxury buyers
• Mid-range sedans and SUVs now offer stronger value making them more competitive against rivals like BMW 3 Series, BMW X3 and Audi Q3/Q5
• Flagship models offer rare reductions in the crore plus price range providing meaningful savings for ultra luxury buyers

Combined with Mercedes-Benz’s ongoing Dream Days campaign which provides EMI schemes starting at 1 percent of the ex showroom price and enhanced trade in offers the revised pricing is likely to encourage more bookings during the festive period

Key Takeaways for Buyers

• Significant Savings Across Range– Depending on the model, buyers can save Rs 4– 10 lakh making Mercedes Benz cars financially more attractive
• Better Access to Entry Level Models– Younger buyers and customers upgrading from premium mainstream vehicles now have easier access to luxury cars
• Stronger Value in Mid-Range Models– Sedans like the C Class and SUVs like the GLC provide more features at a lower price strengthening the value proposition
• Ultra-Luxury Buyers Benefit Too– Flagship cars like the SClass and Maybach series see notable absolute reductions which can influence buying decisions for high end customers
• Timing With Festive Season– Price reductions coincide with the festive period, a peak time for luxury car sales in India
• Competitive Positioning– With revised prices, Mercedes-Benz strengthens its competitiveness against other German luxury car brands, including BMW and Audi across all segments

The GST 2.0 reforms have brought a positive change for Indian buyers of luxury cars. MercedesBenz has leveraged this new taxation framework to lower prices across its portfolio by 5– 8 percent translating to savings ranging from Rs 4 lakh to Rs 10 lakh. Entry-level models are now easier to own mid-range offerings are more valuable and flagship sedans offer significant rupee savings

For buyers this is an opportune moment to invest in a luxury vehicle as these reductions coincide with festive offers, flexible EMIs and enhanced trade in deals. Overall Mercedes-Benz has made it clear that luxury cars are becoming more attainable while maintaining their premium appeal.