Honda Slashes Prices By Up To Rs. 95,500 Under GST 2.0 Reforms

Honda slashes prices of its cars in India by up to Rs. 95,500 after GST 2.0 reforms. Models like Amaze, Elevate, and City will be more affordable from September 22, 2025. Read details, price cuts, festive offers, and FAQs here.

Introduction: Honda Slashes Prices in India

The Indian automobile market is buzzing with excitement as Honda slashes prices of its cars by up to Rs. 95,500 under the new GST 2.0 reforms, effective from September 22, 2025. This move comes right before the festive season, giving car buyers a golden chance to purchase Honda cars at lower prices while also enjoying ongoing festive offers.

Following the footsteps of Tata Motors, Mahindra, Hyundai, and others, Honda Cars India Limited (HCIL) has confirmed that it will pass on the entire GST benefit to customers. The tax cuts, along with festive season discounts, are expected to boost sales and improve accessibility to popular Honda models in the Indian market.

Why Did Honda Slash Prices?

The GST 2.0 reforms, announced in September 2025, introduced major tax reductions on automobiles. The government decided to reduce GST on small cars, motorcycles, and other vehicles to 18% from the earlier 28%. Larger cars, including sedans and SUVs, will now attract 40% GST instead of 45%.

This decision is expected to:

• Boost vehicle affordability across segments.

• Encourage more buyers ahead of the festive season.

• Revive demand for sedans and SUVs, which had slowed in recent years.

• Provide relief to manufacturers struggling with high inventory costs.

Honda’s decision to pass on 100% of the tax benefits ensures customers enjoy maximum savings.

Honda Cars Price Reduction Breakdown

Honda currently has a small line-up in India with three main models – the Honda Amaze, Honda Elevate, and Honda City. Here’s how the Honda slashes prices move impacts each model:

1. Honda Amaze (2nd Generation)

• Current Price (ex-showroom Delhi): ₹7,62,800 – ₹8,52,600
• GST Reduction: From 29% to 18%
• Price Cut: Up to ₹72,800

The second-generation Amaze remains a budget-friendly sedan option. With GST benefits, it is now positioned as one of the most affordable sedans in India.

2. Honda Amaze (3rd Generation)

• Current Price (ex-showroom Delhi): ₹8,09,900 – ₹11,19,900
• Price Cut: Up to ₹95,500

The newly launched third-generation Amaze receives the biggest price cut. With its modern design and advanced features, the new Amaze is now priced more aggressively to attract young buyers.

3. Honda Elevate

• Current Price (ex-showroom Delhi): ₹11,91,000 – ₹16,73,000
• Price Cut: Up to ₹58,400

The Elevate, Honda’s compact SUV rivaling Hyundai Creta and Kia Seltos, is set to become more affordable. The price reduction enhances its appeal in the competitive SUV market.

4. Honda City

• Current Price (ex-showroom Delhi): ₹12,38,000 – ₹16,64,900
• Price Cut: Up to ₹57,500

The Honda City has long been a premium sedan icon in India. Though sedans are less popular today, this price cut gives the City a fresh push among buyers looking for class, comfort, and reliability.

5. Honda City e:HEV Hybrid

• Current Price (ex-showroom Delhi): ₹19,89,990
• Price Cut: No GST relief announced

Unfortunately, hybrid cars are taxed the same as ICE (internal combustion engine) models in India. Hence, the Honda City e:HEV Hybrid remains unchanged in pricing.

Festive Season Advantage

Honda Cars India has confirmed that deliveries under the revised pricing will begin from Navratri 2025. Customers who book now will enjoy two key benefits:

1. GST-linked price reductions (up to ₹95,500).

2. Festive discounts and offers available at dealerships.

This makes September–October one of the best times to buy a Honda car.

Official Statement from Honda

Kunal Behl, Vice President – Marketing & Sales, Honda Cars India Limited, stated:

“We welcome the Government’s new GST Reforms 2025, which come at a very timely juncture for the auto industry. These progressive measures will not only make vehicles more accessible to customers but also boost festive season demand. We encourage customers to book early to ensure timely delivery during the auspicious period and avail benefits from both GST reduction and festive offers.”

Impact on Indian Car Market

The Honda slashes prices initiative is not just beneficial for customers but also for the overall automobile industry. Here’s how it will impact the market:

• Affordable pricing may bring sedans like Amaze and City back into focus.SUV competition will intensify as Honda Elevate becomes cheaper against Creta, Seltos, and Grand Vitara.
• Boost in two-wheeler and small car demand as GST cuts extend to popular models like Honda Activa, Hero Splendor, and Maruti Alto.
• Customers will get more value, especially during the festive buying season.

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Key Highlights at a Glance

• Honda Slashes Prices by up to ₹95,500.
• Effective Date: September 22, 2025.
• Models Covered: Amaze (2nd & 3rd Gen), Elevate, City.
• Maximum Benefit: ₹95,500 on Amaze 3rd Gen.
• Festive offers available alongside GST-linked cuts.
• No reduction for Honda City e:HEV Hybrid.

FAQs on Honda Slashes Prices

Q1: From when will the new Honda prices be effective?
A1: The revised prices will be effective from September 22, 2025, under GST 2.0 reforms.

Q2: Which Honda model gets the biggest price cut?
A2: The Honda Amaze 3rd Generation receives the largest reduction of up to ₹95,500.

Q3: Will the Honda City e:HEV Hybrid get cheaper?
A3: No, the GST reform does not apply to hybrid cars, so its price remains unchanged.

Q4: Can I avail festive offers along with GST benefits?
A4: Yes, customers booking now can enjoy both GST reductions and festive discounts.

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Q5: Why is the Indian government reducing GST on cars?
A5: The GST 2.0 reform aims to boost vehicle affordability, sales demand, and market growth in the automobile sector.

Q6: How much will the Honda Elevate cost after the price cut?
A6: The Honda Elevate will be cheaper by up to ₹58,400, making its revised ex-showroom price range approximately ₹11.3 lakh – ₹16.1 lakh.

The announcement that Honda slashes prices by up to ₹95,500 has come as a festive gift for Indian car buyers. With GST 2.0 reforms, models like the Amaze, Elevate, and City are set to become significantly more affordable. Customers booking before Navratri can maximize savings through both tax-linked reductions and festive discounts.