Nissan Slashes Car Prices by Up to Rs 1 Lakh Following GST Rate Cut
Nissan Motor India has announced significant price reductions across its vehicle lineup, following the GST Council's decision to lower tax rates on certain categories of passenger vehicles from 28% to 18%. The price cuts apply to small cars meeting specific criteria, with savings reaching up to Rs 1 lakh on some models. The popular Magnite model sees substantial reductions, with the entry-level MT Visia now priced at Rs 5,61,000 (down from Rs 6,14,000) and the top-spec Turbo CVT Tekna+ at Rs 10,75,000 (reduced from Rs 11,76,000). Nissan expects this move to boost consumer enthusiasm, particularly during the upcoming festive season.
*this image is generated using AI for illustrative purposes only.
Nissan Motor India has announced significant price reductions across its vehicle lineup, passing on the full benefits of the recent Goods and Services Tax (GST) rate cut to customers. The price savings, reaching up to Rs 1 lakh on some models, come as a result of the GST Council's decision to lower tax rates on certain categories of passenger vehicles.
GST Rate Reduction
The GST Council has reduced the tax rate from 28% to 18% for small passenger cars that meet specific criteria:
- Petrol, LPG, or CNG cars with engine capacity not exceeding 1200cc and length not exceeding 4,000 mm
- Diesel cars with engine capacity not exceeding 1500cc and length not exceeding 4,000 mm
Price Cuts Across Nissan Models
Nissan's popular Magnite model has seen substantial price reductions:
| Variant | Old Price (Rs) | New Price (Rs) | Savings (Rs) |
|---|---|---|---|
| Entry-level MT Visia | 6,14,000 | 5,61,000 | 53,000 |
| Top-spec Turbo CVT Tekna+ | 11,76,000 | 10,75,000 | 1,01,000 |
| MT Tekna+ | 9,23,000* | 8,48,000 | 75,000 |
| EZ-Shift Tekna+ | 9,73,000* | 8,98,000 | 75,000 |
| CVT Tekna | 11,70,300* | 10,73,000 | 97,300 |
| CVT Tekna+ | 11,76,400* | 10,76,000 | 1,00,400 |
*Approximate old prices calculated based on the reported savings
Impact on Consumer Sentiment
Saurabh Vatsa, Managing Director of Nissan Motor India, expressed optimism about the GST rate reduction, stating that it provides a timely stimulus for the automotive industry. The company expects this move to boost consumer enthusiasm, particularly during the upcoming festive season.
Industry Implications
The price reduction is not unique to Nissan, as the GST rate cut applies to all eligible vehicles across manufacturers. This industry-wide price adjustment is likely to stimulate demand in the small car segment, potentially leading to increased sales volumes for automakers.
Nissan's prompt action to pass on the tax benefits to consumers demonstrates the company's commitment to maintaining competitive pricing and potentially increasing its market share in the highly competitive Indian automotive market.
As the festive season approaches, these reduced prices could serve as an additional incentive for potential car buyers, possibly leading to a surge in sales for Nissan and other manufacturers offering similar price cuts in the affected vehicle categories.
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