50% of Suzuki Bikes to See Price Reduction Due to GST

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Suzuki Motorcycles’ portfolio has both sub-350 cc and higher than 350 cc products in India; Gixxer range and Access to become cheaper

As the popular two-wheeler manufacturers are gearing up to pass on the benefit of Goods and Services Tax (GST) to the customers from 1st July when the new tax structure rolls out across the country, Suzuki Motorcycles is not sitting idle. The Japanese brand will reduce pricing of its several products that sit below the 350 cc engine category.

The two-wheeler manufacturer has both the sub-350 cc and higher than 350 cc products in its portfolio. In the sub-350 cc category, the company sells scooters like Suzuki Let’s, Access 125, while the bikes on offer include Hayate EP and the Gixxer series as well. Under the new tax structure, these products are expected to become cheaper by around 2%-5%, these two-wheelers will draw a total tax amount of 28% compared to the current 30% tax incidence.

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Also read: Suzuki Gixxer 250 (GSX 250R) – Everything You Need to Know

On the other hand, the Japanese two-wheeler manufacturer’s portfolio also has a range of premium products that include the GSX-S1000, GSX-S1000F, GSX-R1000, GSX-R1000R, V-Storm 1000, Hayabusa and Intruder M1800R. All these models will become marginally pricier under GST compared to their current pricing, as these big bikes will be slapped with 3% cess over and above the highest GST slab of 28%.

Not only Suzuki Motorcycles, several other two-wheeler manufacturers that have strong presence in the sub-350 cc segment are also preparing to reduce the pricing of their products to pass on the benefit of GST to the customers. Some two-wheeler manufacturers are offering discount to clear out the pre-GST stock as well.

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Also read: Suzuki Exports Made-In-India Gixxer to Japan

However, despite the premium bikes going to be pricier under the GST regime, two-wheeler manufacturers believe it won’t affect the sales of the products majorly, as several factors will be in their favours including the pay hike under the 7th pay commission, a good monsoon and of course the strong demand from the young buyers.

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