Toyota Fortuner to see significant price reduction after GST cut, up to ₹3.49 lakh cheaper

Toyota Kirloskar Motor will pass on the benefits of the recent GST rate reduction to customers, with prices for models like Fortuner, Glanza, and Hilux decreasing by up to ₹3.49 lakh, ₹1.11 lakh, and ₹2.52 lakh, respectively. The changes will take effect on September 22 and are expected to boost demand ahead of the festive season.

Toyota Kirloskar Motor (TKM) has announced substantial price reductions across its entire product lineup, effective from September 22, 2025, following the recent GST rate reduction. The company has decided to fully pass on the benefits of the GST rate reduction to its customers, aiming to boost demand ahead of the festive season.

The Toyota Fortuner, one of the most popular models, will see the steepest cut, with prices dropping by up to ₹3.49 lakh. The Legender will also experience a significant price reduction of up to ₹3.34 lakh, while the Hilux lifestyle pickup will be cheaper by up to ₹2.52 lakh. The premium models such as the Vellfire and Camry will become more affordable by up to ₹2.78 lakh and ₹1.01 lakh, respectively.

In the mid-range segment, popular SUVs and MPVs like the Innova Crysta and Innova Hycross will see price reductions of up to ₹1.80 lakh and ₹1.15 lakh, respectively. The Taisor compact SUV will also benefit from a price drop of up to ₹1.11 lakh. For entry-level buyers, the Glanza hatchback and the Rumion MPV will now be cheaper by up to ₹85,300 and ₹48,700, respectively. The Urban Cruiser Hyryder, a strong player in the hybrid SUV market, will see a reduction of up to ₹65,400.

Varinder Wadhwa, Vice President – Sales, Service, Used Car Business & Profit Enhancement at TKM, stated, “Ahead of the festive season, we expect this step to provide strong momentum and further accelerate demand. As a transparent and customer-centric company, we are pleased to pass on these benefits to our customers.”

The GST Council's decision to rationalize tax rates on automobiles has led to this price reduction. The council approved limiting slabs to 5% and 18%, effective from September 22, the first day of Navaratri. Under this new structure, petrol, LPG, and CNG vehicles of less than 1,200 cc and not more than 4,000 mm length, and diesel vehicles of up to 1,500 cc and 4,000 mm length will move to the 18% rate. All automobiles exceeding 1,200 cc and longer than 4,000 mm will be charged with a 40% levy.

Toyota expects these price cuts to spur festive demand and support growth across the sector. Customers are advised to confirm the revised pricing at their nearest authorized dealerships, as the exact benefits may vary depending on the variant and location. Early bookings are encouraged to ensure timely delivery during the festive rush.

References
[1] https://auto.economictimes.indiatimes.com/news/passenger-vehicle/toyota-offers-up-to-349-lakh-price-cut-on-popular-models-post-gst-reduction/123734694
[2] https://m.economictimes.com/industry/auto/cars-uvs/toyota-price-slash-fortuner-innova-hyryder-glanza-and-others-get-cheaper-by-up-to-rs-3-5-lakh-after-gst-rationalisation/articleshow/123735261.cms