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Published: Jan 02, 2026 05:14 pm IST
Maruti Suzuki is reviewing the GST 2.0-era small car price cuts and will soon decide whether to continue with strategic pricing or revert to GST-only rates.
Maruti Suzuki India is reviewing whether it should roll back the aggressive price cuts it made on its small cars last year, with a decision expected soon. The move could see prices simply return to levels reflecting lower GST rates rather than the deep cuts currently in place.
Price cuts started after GST 2.0
Following the implementation of GST 2.0 in September last year, Maruti Suzuki India had foregone the 8.5 per cent tax benefit to reduce prices across its entry-level and compact portfolio. The reduction was substantial: the S-Presso saw a reduction of up to 1.30 lakh, up to Alto K10 1.08 lakh, Celerio approx 94,100, and WagonR the same 79,600.
According to Partho Banerjee, senior executive officer, marketing and sales, the pricing strategy was aimed at improving motorization levels in the small car segment. Responding to questions on the possible price hike, Banerjee said the company is evaluating whether to continue with the existing “strategic pricing” or simply go back to prices in line with the GST cut.
(Also Read: Maruti Suzuki Victories hits 70,000 bookings; Brezza remains strong with 23,000 retail sales in December 2025)
Pending booking complicates decision
A major factor influencing the decision is Maruti Suzuki’s existing order book. The company currently has over one and a half month’s worth of bookings pending in the mini segment, even after doubling the volumes in the category in the recent month. Banerjee said the company is considering whether customers who have already booked vehicles should be issued bills at the prices applicable till December 31.
With Maruti Suzuki plants currently closed for annual maintenance, the company is considering the possibility of increasing existing prices for the next 15 to 20 days to cover pending deliveries. A formal announcement is expected soon.
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