Ford cars get price cut of up to 4.5 per cent post GST; Endeavour up to 3 lakh cheaper
Ford India has taken the high road by its decision to reduce vehicle prices by up to 4.5 per cent with immediate effect to pass on the GST benefit to the customers.
- Jul 3, 2017,
- Updated Jul 3, 2017 3:49 PM IST
Ford India has taken the high road by its decision to reduce vehicle prices by up to 4.5 per cent with immediate effect to pass on the GST benefit to the customers. Maruti Suzuki was the first company to follow the GST tax reform to reduce the prices on its cars by 3 per cent.
Despite the nature of the tax being universal in our country, the reduction in prices won't be the same across all states. Ford India is offering the maximum price cut in Mumbai with the company's flagship SUV Endeavour becoming cheaper by up to Rs 3 lakh.
"We will pass on the benefits in the range of up to 4.5 per cent across the range," a Ford India spokesperson told PTI.
In Delhi, price of hatchback Figo has been cut by Rs 2,000, that of compact SUV Ecosport by up to Rs 8,000. Price of premium SUV Endeavour has been reduced by up to Rs 1.5 lakh.
In Mumbai, the prices will go down in the range of Rs 28,000 on Figo to Rs 3 lakh on Endeavour.
The company sells a range of vehicles starting from hatchback Figo to premium SUV Endeavour, that were priced between Rs 4.75 lakh to Rs 31.5 lakh (ex-showroom).
The company, however, did not share details about the revised pricing of its iconic sports car Mustang.
Already, various automakers such as Maruti Suzuki, Toyota, Jaguar Land Rover and BMW have reduced prices to transmit the GST relief down the line.
Under the GST rates, cars attract the top rate of 28 per cent with a cess in the range of 1-15 per cent on top of it. While small petrol cars with engine less than 1,200 cc will attract 1 per cent cess, that with a diesel engine of less than 1,500 cc will attract 3 per cent cess.
Large cars with engine greater than 1,500 cc and SUVs with length more than 4 metres and engine greater than 1,500 cc will attract a cess of 15 per cent.
Earlier in Jun, car manufacturing majors like Mercedes, BMW and Audi offered discounts of up to Rs 10 lakh till June 30. BMW offered benefits up to 12 per cent on ex-showroom prices that include GST benefits, depending on choice of the model.
Mercedes Benz announced reduction of prices of its vehicles produced in India by up to Rs 8 lakh. Tata-Motors owned Jaguar Land Rover (JLR) cut prices of select models by up to Rs 10.9 lakh to pass on benefits of new tax rates under GST.
Under the previous taxation system, SUVs and other luxury cars were taxed above 50 per cent, however, after the GST the taxes on these cars have come down to 43 per cent including the cess.
Ford India has taken the high road by its decision to reduce vehicle prices by up to 4.5 per cent with immediate effect to pass on the GST benefit to the customers. Maruti Suzuki was the first company to follow the GST tax reform to reduce the prices on its cars by 3 per cent.
Despite the nature of the tax being universal in our country, the reduction in prices won't be the same across all states. Ford India is offering the maximum price cut in Mumbai with the company's flagship SUV Endeavour becoming cheaper by up to Rs 3 lakh.
"We will pass on the benefits in the range of up to 4.5 per cent across the range," a Ford India spokesperson told PTI.
In Delhi, price of hatchback Figo has been cut by Rs 2,000, that of compact SUV Ecosport by up to Rs 8,000. Price of premium SUV Endeavour has been reduced by up to Rs 1.5 lakh.
In Mumbai, the prices will go down in the range of Rs 28,000 on Figo to Rs 3 lakh on Endeavour.
The company sells a range of vehicles starting from hatchback Figo to premium SUV Endeavour, that were priced between Rs 4.75 lakh to Rs 31.5 lakh (ex-showroom).
The company, however, did not share details about the revised pricing of its iconic sports car Mustang.
Already, various automakers such as Maruti Suzuki, Toyota, Jaguar Land Rover and BMW have reduced prices to transmit the GST relief down the line.
Under the GST rates, cars attract the top rate of 28 per cent with a cess in the range of 1-15 per cent on top of it. While small petrol cars with engine less than 1,200 cc will attract 1 per cent cess, that with a diesel engine of less than 1,500 cc will attract 3 per cent cess.
Large cars with engine greater than 1,500 cc and SUVs with length more than 4 metres and engine greater than 1,500 cc will attract a cess of 15 per cent.
Earlier in Jun, car manufacturing majors like Mercedes, BMW and Audi offered discounts of up to Rs 10 lakh till June 30. BMW offered benefits up to 12 per cent on ex-showroom prices that include GST benefits, depending on choice of the model.
Mercedes Benz announced reduction of prices of its vehicles produced in India by up to Rs 8 lakh. Tata-Motors owned Jaguar Land Rover (JLR) cut prices of select models by up to Rs 10.9 lakh to pass on benefits of new tax rates under GST.
Under the previous taxation system, SUVs and other luxury cars were taxed above 50 per cent, however, after the GST the taxes on these cars have come down to 43 per cent including the cess.