Maruti, Hyundai shares rise over 2% as companies see record sales under GST 2.0; check details

Last seen, the NIFTY AUTO index was ruling at 27,421.80 levels, up 1%. 13 out of 15 constituents of the index were trading in the green. Maruti was up over 2% at ₹16,154, while Hyundai was trading at ₹2,769.90, up 1.8%.

Maruti shares advanced as much as 3.2% to hit their fresh record high of ₹16,325 apiece on the NSE.

The country's largest carmaker, Maruti Suzuki India, said its retail sales had crossed the 25,000 mark by late evening and were expected to cross the 30,000 mark by the end of the day, as dealerships were expected to remain open till late at night.

Maruti Suzuki India Senior Executive Officer, Marketing & Sales, Partho Banerjee said the customer response has been great on the first day of Navratri and the new GST regime.

Banerjee noted that the company dealerships reported around 80,000 customer enquiries on Monday.

"We have already crossed 25,000 deliveries and are expected to cross 30,000 units by the end of the day," Banerjee said.

Banerjee noted that with reduced prices there has been a 50% increase in the number of bookings for the small cars.

Banerjee said that the company may run out of stock for certain model variants.

He noted that it has turned out to be one of the best days in terms of sales for the company.

Hyundai Motor India COO Tarun Garg said the auspicious start of Navratri, amplified by the momentum from GST 2.0 reforms, has infused strong positivity into the market.

"On Day 1 alone, we recorded around 11,000 dealer billings, which is our highest single-day performance in the last five years," Garg added.

This is a clear testament to robust festive sentiment and customer confidence, Garg said.

"Looking ahead, we anticipate sustained festive demand and remain committed to delivering value and excitement to our customers," Garg added.

The automotive dealers witnessed increased footfalls as buyers thronged dealerships in large numbers on Monday to buy their dream machines, FADA President C S Vigneshwar said.

In an interaction with PTI, he said that the dealerships saw a massive increase in customer enquiries over the last 3-4 weeks and a very 'positive' sales performance on the first day of Navratri.

"People have been coming in for the last three or four weeks, as they know prices are going to drop. A lot of people are enquiring, with some wanting to upgrade one category up due to the cost coming down," Vigneshwar said.

Vigneshwar noted that the overall positive impact of the GST rate cut and the subsequent price cuts would be felt by the industry over the next few years.

"I don't think this tax reform is for this week, month or season. This tax reform is going to benefit us for the next few years to come," Vigneshwar stated.

Auto industry outlook robust

Following the GST rate rationalisation that the government announced earlier in September 2025, Maruti had said the GST rationalisation would help the automotive industry to come back to about 7% growth on a yearly basis.

In a statement, Maruti Suzuki India Chairman RC Bhargava said the automotive industry would be a direct beneficiary of faster economic development.

The GST Council on September 3, 2025, cleared proposed changes to the indirect tax regime, approving an overhaul of rates by limiting slabs to 5% and 18%, effective from September 22, 2025, the first day of Navaratri.

"The growth of the car industry in general will also benefit from the GST system. We expect the industry growth rate to come back to about 7% a year. Manufacturing growth and employment will both benefit," Bhargava added.

As per earlier estimates, the passenger vehicle segment was projected to witness a modest 1-2% growth in FY26.

In particular, Maruti Suzuki is grateful for small cars being placed in the 18% GST basket, Bhargava stated.

"The 10% lower tax will stimulate a flagging market, and many more people will be able to buy safer and more comfortable means of mobility," Bhargava said.

Terming the GST rate rejig as a major reform, Bhargava noted that it would give a boost to the entire economy and take the country closer to its goal of a Viksit Bharat.