GST 2.0 & Navratri Spark Historic Car Sales for Maruti Suzuki and Hyundai!
India’s automotive sector witnessed an extraordinary surge on Monday, September 22, 2025, as the dual impact of the new GST 2.0 reforms and the auspicious beginning of Navratri ignited unprecedented demand. Leading the charge, Maruti Suzuki reported an astounding 30,000 car deliveries, while Hyundai Motor India recorded robust wholesales of 11,000 units on the very first day. These figures represent an astonishing 5-6 times their normal daily average sales, signaling a powerful start to the festive season.
A Perfect Storm for Auto Sales
The timing couldn’t have been better for carmakers. Monday marked the end of the 16-day ‘Shradh’ period, traditionally considered inauspicious for new purchases, and ushered in ‘Navratri,’ a highly auspicious time for significant investments like buying a new vehicle. Adding to this festive fervor was the highly anticipated implementation of the GST 2.0 reforms, which saw tax rates on small cars and SUVs drop from 28% to 18%. This combination created a perfect storm, unleashing pent-up demand and driving consumers to showrooms in droves.
Maruti Suzuki and Hyundai Lead the Charge
Maruti Suzuki, India’s largest carmaker, saw an “unprecedented” response. “The response from customers has been phenomenal—something we haven’t seen in the last 35 years,” stated Partho Banerjee, Senior Executive Officer for Marketing & Sales at Maruti Suzuki. The company received a massive 80,000 enquiries on day one, ultimately translating into approximately 30,000 deliveries.
Hyundai Motor India echoed this sentiment. Tarun Garg, Whole-time Director and COO, remarked, “The auspicious start of Navratri, amplified by the momentum from GST 2.0 reforms, has infused strong positivity into the market. On Day 1 alone, Hyundai Motor India Limited recorded around 11,000 Dealer billings, which is our highest single-day performance in the last five years.”
Benefits Passed On, Discounts Galore
A key factor in this surge is that major carmakers, including Maruti Suzuki and Hyundai, have committed to fully passing on the GST 2.0 reforms benefits to consumers. Maruti Suzuki, for instance, has announced significant price reductions across its entire lineup, with cuts reaching up to Rs 1.29 lakh. These GST benefits, combined with additional festive season discounts, are making car ownership more attractive than ever.
Maruti Suzuki’s Banerjee noted this as an “ideal opportunity to pull two-wheeler riders to upgrade to cars,” indicating a strategic push with compelling offers for first-time car buyers. Hyundai’s Garg has even predicted the coming months to be “a mayhem” of car sales, laying the groundwork for one of the most robust festive seasons in recent memory.
Rural Demand and Industry Outlook Brighten
This festive period is crucial for automakers, with volumes generated accounting for a significant portion of their annual sales. Rural areas, in particular, are expected to contribute heavily, as farmers often have increased disposable income post-harvest.
This strong demand is a much-needed boost for the domestic passenger vehicle industry, which had been struggling with subdued sales and nearly flat growth earlier in the fiscal year. The GST 2.0 reforms has fundamentally altered the outlook, leading S&P Global Mobility to revise its 2026 growth forecast for the domestic passenger vehicle industry higher, from 4.1% to a robust 8.5%. The industry is now poised for a vigorous rebound, fueled by consumer confidence and affordability.
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