GST effect: Honda, Ford, TVS, Suzuki Motorcycle cut prices

Passing on to customers the benefits under the new GST regime, automakers on Friday announced price cuts ranging from Rs 350 in case of two-wheelers to Rs 3 lakh on Ford's SUV Endeavour.

Honda Cars India, Ford as well as two-wheeler makers TVS Motor Company, Honda Motorcycle & Scooter India and Suzuki Motorcycle -all announced rate cuts arising out of the introduction of Goods and Services Tax from July 1. With the overall tax incidence on many of its car models coming down under GST, Honda Cars India Ltd (HCIL) cut prices by up to Rs 1.31 lakh with immediate effect to pass on the benefit to consumers.

The company reduced price of its hatchback Brio by up to Rs 12,279 and that of compact sedan Amaze by up to Rs 14,825. Besides, it has slashed price of premium hatchback Jazz by up to Rs 10,031 and that of its recently launched model WR-V by up to Rs 10,064. Likewise, price of mid-sized sedan City has been reduced in the range of Rs 16,510 and Rs 28,005. The company's SUV BR-V prices will come down by up to Rs 30,387.

Its premium SUV CR-V has also seen a price drop of up to Rs 1,31,663. The revised prices are for ex-showroom Delhi and will vary from state to state. HCIL, however, is yet to decide on the revised pricing of Accord Hybrid, which is set to become costlier with GST rates on hybrid vehicles going up.

Ford India has also reduced vehicle prices by up to 4.5 per cent with immediate effect. While the reduction in prices will vary from state to state, the highest cut will be in Mumbai with the company's flagship SUV Endeavour becoming cheaper by up to Rs 3 lakh. In Mumbai, the prices will go down in the range of Rs 28,000 on Figo to Rs 3 lakh on Endeavour.