GST impact: Maruti Suzuki cars up to 3% cheaper, but hybrids Ciaz, Ertiga now costlier

Maruti Suzuki passed on the GST benefit to the customers, slashing the ex-showroom prices of its passenger vehicles by up to 3%.
By : Hindustan Times, New Delhi
| Updated on: 06 Jul 2017, 09:59 AM
The new Maruti Suzuki Dzire will also become cheaper by up to 3% in its ex-showroom prices.
The new Maruti Suzuki Dzire will also become cheaper by up to 3% in its ex-showroom prices.
The new Maruti Suzuki Dzire will also become cheaper by up to 3% in its ex-showroom prices.
The new Maruti Suzuki Dzire will also become cheaper by up to 3% in its ex-showroom prices.

India's largest carmaker Maruti Suzuki passed on the GST benefit to the customers, slashing the ex-showroom prices of its passenger vehicles by up to 3%. But the increased GST rate on the hybrid vehicles has made its 'Smart Hybrid Vehicles by Suzuki' (SHVS) costlier.

"The ex-showroom prices of Maruti Suzuki models have come down by up to 3%. The rate of reduction varies across locations depending on the VAT rates applicable prior to GST," the company said in a statement.

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So now while the entry level Alto may be cheaper by a few thousands in most parts of India, the flagship sedan Ciaz and the multi-utility vehicle Ertiga have become more expensive by at least 1 lakh.

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"Owing to withdrawal of tax concessions on mild hybrid vehicles, the price of Smart Hybrid Ciaz Diesel and Smart Hybrid Ertiga Diesel has increased," the statement added.

The GST benefit would be applicable on all its models across the country from July 1, the company said.

Maruti Suzuki, which holds almost half the passenger car market share, posted only 1.2% growth in domestic sales in June, as many buyers delayed their purchase of new automobiles due to anxiety and revision in prices post GST.

First Published Date: 01 Jul 2017, 11:26 AM IST
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