Activa, Jupiter and Other Scooters to Become More Affordable as New GST Rates Kick In
Activa, Jupiter and Other Scooters to Become More Affordable as New GST Rates Kick In
A welcome price drop is on the horizon for two-wheeler buyers in India. With the revised GST rates set to come into effect on September 22, 2025, popular scooters like the Honda Activa and TVS Jupiter are expected to become significantly more budget-friendly. The government’s decision to lower GST on vehicles is seen as a timely boost to the automobile sector, especially in the run-up to the festive season.
The new tax reform reduces GST on two-wheelers from the previous 28% down to 18%, specifically targeting vehicles with engine capacities under 350cc — a segment that makes up the majority of two-wheeler sales in India. This change aims to directly benefit middle-class consumers and push up sales volumes for manufacturers.
Among the most impacted is the Honda Activa 125, which will become cheaper by ₹6,750. Previously priced at ₹81,000, the scooter’s new cost will be ₹74,250. The TVS Jupiter 125 will also see a price cut of ₹6,333, making it more appealing to those seeking a feature-rich yet economical option.
Other scooters are also seeing attractive reductions. Suzuki Access 125 will now be ₹6,611 less expensive, while the Hero Maestro Edge 125 will be reduced by ₹6,389. The Honda Dio 125 follows closely behind with a ₹6,222 drop, and the Suzuki Burgman Street 125 is set to be ₹6,444 cheaper.
Yamaha Fascino 125 will become more affordable by ₹5,333, while Hero Destini 125 gets a price cut of ₹5,389. Meanwhile, the Aprilia SR 125 takes the biggest drop among this group with a reduction of ₹6,852.
To put the new prices into perspective, the Honda Activa, which currently costs ₹81,045 including the earlier GST rate, will soon be available at approximately ₹72,940. Buyers of the TVS Jupiter 110 can expect its price to drop from ₹78,631 to ₹70,767. Likewise, the Suzuki Access 125 will now cost ₹75,870, compared to its earlier price of ₹84,300.
The revised GST isn’t just benefiting scooters. Commuter motorcycles like the Hero Splendor are also getting cheaper. The bike, previously sold at ₹79,426, will now be available for ₹71,483 — a substantial difference of ₹7,943. This is especially significant for budget-conscious rural and urban buyers alike.
With Dhanteras and Diwali around the corner, the timing of this GST change aligns perfectly with India’s festive buying sentiment. Vehicle purchases tend to peak during these months, and the lower prices are expected to drive strong footfall into dealerships across the country.
Manufacturers and dealers are preparing for a possible surge in sales, and the lowered GST may serve as a key factor in boosting confidence among buyers. Not only does this move reduce the cost burden on consumers, but it also gives the auto industry a much-needed boost as it looks to recover and grow.
