Kia Cars New Price After GST Price Cut

The Government of India recently announced changes in GST slabs for automobiles under the GST 2.0 framework. These tax adjustments directly impact the final cost of vehicles, making them cheaper for customers. Kia Motors has officially stated that the full benefit of these revised rates will be passed on to buyers.

The price revision covers the entire ICE (internal combustion engine) portfolio, which includes popular models such as Kia Sonet, Kia Syros, Kia Seltos, Kia Carens, Kia Carens Clavis, and the premium Kia Carnival. The new prices will be valid starting September 22, 2025.

The automobile industry sees this move as a major step to revive demand, especially during the festive season. Let us look at the exact impact of the GST price cut on Kia cars.

How Much You Can Save On Kia Cars?

Here is a breakdown of how much you can save on each Kia model after the new GST 2.0 implementation.

Key Takeaway:

• The Kia Carnival receives the largest price reduction, thanks to a drastic drop from a 50% GST slab to just 10%.
• Models like Kia Sonet and Kia Syros also show impressive savings of over 10% in taxes.
• Cars like Seltos and Carens get a moderate benefit, with about 5% reduction in overall GST.

Revised GST Slabs For Cars In India

The government has adjusted GST slabs to rationalize car pricing. Below is the revised tax structure.

What Makes Kia Carnival The Biggest Winner?

The Kia Carnival, being the brand’s flagship ICE model in India, gets the steepest price cut of ₹4.49 lakh. This is because:

• It earlier attracted the highest GST slab of 50% (28% GST + 22% cess).
• Under GST 2.0, it now falls into a 10% slab, bringing down its overall cost.
• This change makes the Carnival one of the most value-packed premium MPVs in India.

How Buyers Benefit From GST Price Cuts

The GST slab revision is not only an advantage on paper but has real benefits for car buyers:

• Lower On-Road Price: Reduced GST directly lowers the base price, registration amount, and even insurance cost.
• Affordable EMI: With lower car prices, monthly loan installments become more manageable.
• Higher Segment Upgrade: Customers who were planning for a compact SUV might now stretch their budget to a midsize model.
• More Family Choices: Cars like Carens and Carnival now fit better in family budgets due to lower costs.

Impact On The Automobile Industry

The automobile industry has welcomed the new GST changes because:

• It will revive demand in the passenger car market, especially during festive months.
• Sales volumes are expected to increase as affordability improves.
• Competition among carmakers will rise as brands pass on GST benefits to attract more customers.
• The move supports both urban buyers and semi-urban/rural buyers, as price-sensitive markets get better access to affordable cars.

The introduction of GST 2.0 and revised GST slabs has changed the game for car pricing in India. Kia has passed on the entire benefit to customers, making its lineup from compact SUVs like Sonet and Syros to the flagship Carnival more affordable than before.

While the Kia Carnival enjoys the steepest cut at up to ₹4.49 lakh, models like Sonet and Syros also see impressive savings above ₹1.5 lakh. Even midsize SUVs like Seltos and Carens gain from the new structure.

For buyers planning to invest in a new car, September 22, 2025, marks the beginning of a more budget-friendly phase in the automobile industry.