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  1. Kia slashes car prices: Sonet, Seltos, Carens, Syros, Carnival see price cuts starting September 22

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Kia slashes car prices: Sonet, Seltos, Carens, Syros, Carnival see price cuts starting September 22

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2 min read | Updated on September 09, 2025, 11:55 IST

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SUMMARY

Under the GST 2.0 structure, many ICE and hybrid passenger vehicles have been moved into the 18% or 40% tax slabs, replacing the earlier 28% plus compensation cess regime.

Kia India has announced a model-wise list of maximum price reductions.

Kia India has announced a model-wise list of maximum price reductions.

Kia India on Monday said it is reducing prices of its vehicles by up to ₹4.48 lakh to pass on the GST rate cut benefit to customers, according to news agency PTI.

The company said that it will pass the entire benefit of the recent GST 2.0 tax reforms across its internal combustion engine (ICE) passenger vehicle lineup. These revised rates will be effective from September 22, 2025.

The move follows the GST Council’s GST 2.0 decision announced at the 56th meeting on September 3, 2025, which rationalised tax slabs for passenger vehicles. Kia said it is passing the benefit in full to improve affordability for customers with the changes timed ahead of the festive season.

Kia India has announced a model-wise list of maximum price reductions. The list is as follows:

ModelPrice Reduction
Kia CarensUp to ₹48,513
Kia Carens ClavisUp to ₹78,674
Kia SeltosUp to ₹75,372
Kia SonetUp to ₹1.64 lakh
Kia SyrosUp to ₹1.86 lakh
Kia CarnivalUp to ₹4.48 lakh

Gwanggu Lee, Managing Director and CEO of Kia India, praised the government for citizen-centric reforms to cut GST on passenger vehicles.

“This transformative measure represents a progressive and timely decision towards making vehicle purchase more affordable for consumers and bringing a boost to the automotive sector's growth. In line with this vision, we are proud to pass on the full benefit of the GST rate reductions to our customers, ensuring more affordability and greater accessibility,” he said.

Lee added, "This significant reform simplifies the taxation framework and reinforces the government's commitment to sustainable economic growth and innovative mobility solutions. We are confident this move will energise consumer sentiment and drive demand during the upcoming festive season."

Under the GST 2.0 structure, many ICE and hybrid passenger vehicles have been moved into the 18% or 40% tax slabs, replacing the earlier 28% plus compensation cess regime. Electric vehicles remain in the 5% slab, while hydrogen fuel cell vehicles have also been moved to a 5% rate after the removal of the 12% slab. Kia noted that the tax rationalisation is the basis for the price adjustments.

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About The Author

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Kadambari Modhave is a writer with around 6 years of experience in the BFSI sector. She covers business and personal finance news.