Certain vehicles in the sub-4-meter compact SUV market have seen significant price reductions due to the GST rate cuts, reaching Rs. 1.86 lakh.
Top 5 Compact SUVs Now Cheaper: The Indian automobile industry has experienced a boom after the implementation of GST 2.0 on September 22. This is because lower taxes have led to price reductions across various market sectors. Previously subject to 28% GST and 1%–3% compensation tax, the well-liked small SUV market now commands a flat 18% GST rate. The top 5 small SUVs with the most GST 2.0 benefits will be examined in this article.
Key Details
| SUV Model | Maximum Benefit | Key Variant Benefiting Most | New Price Range (Ex-Showroom) |
| Mahindra Thar | Rs. 1.35 lakh | RWD LX Diesel | From Rs. 10.32 lakh |
| Mahindra XUV3XO | Rs. 1.56 lakh | AX7 Diesel | Rs. 7.28 – Rs. 14.40 lakh |
| Tata Nexon | Rs. 1.55 lakh | Diesel Fearless+ PS DT | Rs. 7.32 – Rs. 14.05 lakh |
| Kia Sonet | Rs. 1.64 lakh | GTX Plus AT Diesel | Rs. 7.30 – Rs. 14.10 lakh |
| Kia Syros | Rs. 1.86 lakh | HTX Plus (O) Diesel | Rs. 8.67 – Rs. 15.94 lakh |
Also Read:- Next-Gen Hyundai i20 Spied Testing in India Ahead of Launch
1. Mahindra Thar
The Thar RWD (rear-wheel-drive) LX diesel model is now up to Rs. 1.35 lakh less expensive. Its sub-4-meter length and 1.5-litre turbo diesel engine are what make it fall within the flat 18% GST slab. However, the 4WD models with the larger 2.2-litre mHawk engine receive fewer GST incentives. The Mahindra Thar’s new pricing range starts at Rs. 10.32 lakh (ex-showroom).
2. Mahindra XUV3XO
The XUV3XO’s pricing has been lowered by up to Rs. 1.56 lakh by Mahindra. The AX7 diesel model has seen the biggest price reduction. The price of the compact SUV’s fuel versions is lowered by up to Rs. 1.40 lakh. The top-spec Mahindra XUV3XO model now costs Rs. 14.40 lakh (ex-showroom), while the base model starts at Rs. 7.28 lakh.
3. Tata Nexon
One of the most popular small SUVs on the Indian market is the Nexon. The price reduction makes it up to Rs. 1.55 lakh more affordable for the buyers. While the petrol-powered Nexon can save up to Rs. 1.25 lakh on GST, the top-end diesel Fearless+ PS DT model receives the most price decrease. The Nexon’s current ex-showroom price range is between Rs. 7.32 lakh and Rs. 14.05 lakh.
4. Kia Sonet
For the top-tier GTX Plus AT model, the Sonet’s GST 2.0 savings can amount to up to Rs. 1.64 lakh. The top-spec X-Line DCT trim of the gasoline-powered Sonet may be purchased for up to Rs. 1.35 lakh less. The Sonet’s new pricing range (ex-showroom) starts at Rs. 7.30 lakh and goes up to Rs. 14.10 lakh.
5. Kia Syros
The newest Kia model, the Syros, is now available for up to Rs. 1.86 lakh less for the top-spec HTX Plus (O) diesel version, thanks to a drop in GST rates. However, the 1.0 tGDi DCT HTX Plus (O) trim of the petrol lineup offers benefits of up to Rs. 1.49 lakh. The Syros’s revised pricing range (ex-showroom) starts at Rs. 8.67 lakh and goes up to Rs. 15.94 lakh.
Also Read:- Three Upcoming Hyundai Hybrid Cars in India, Launches by 2027–28
PPX Saying
The GST 2.0 rollout has changed the compact SUV market, offering significant price cuts on popular models. Buyers of vehicles like the Mahindra Thar, XUV3XO, Tata Nexon, Kia Sonet, and the newly launched Kia Syros can now save between Rs. 1.25 lakh and Rs. 1.86 lakh.
The government moved compact SUVs into the 18% GST bracket, creating a great opportunity for customers to buy a new car. For families and car enthusiasts, this may be the best time to upgrade, as manufacturers have directly passed on the savings to customers, making premium variants much more affordable.
