German luxury car maker Mercedes-Benz is reducing the price of its cars for the whole month of June in India. The price reduction will range from $2,170 on the CLA sedan to $10,850 on its Maybach S 500.
The company seeks to pass on the benefits of the new tax rate under GST due to be implemented on July 1, to its customers. However, in case GST is deferred, the company said it would hold the current prices reports Firstpost.
Mercedes-Benz India managing director and CEO Roland Folger said, “We now know more in details what taxes are going to be in various states. So we have decided to compensate the difference between the current and post GST prices for our entire Made in India range. Our decision to go ahead and reduce the price is also a reflection of our confidence in this government.”
Per GST rates, large luxury cars and SUVs with engine capacity of over 1.5 liters attract a 15 percent “cess” over and above peak rate of 28 percent, bringing down the overall tax incidence compared to the present of about 50 percent.
Last updated: December 26th, 2025
