This is now India's cheapest car thanks to GST 2.0
What's the story
Maruti Suzuki's latest price cuts, following India's GST 2.0 overhaul, have made the S-Presso the most affordable car in the country. The model now starts at ₹3.50 lakh (ex-showroom), undercutting the Alto K10 by about ₹20,000. However, unlike its siblings like Alto K10 and Celerio which come with six airbags as standard, the S-Presso gets only two airbags for safety.
Tax changes
GST 2.0 brings down small car excise duties
The recent GST 2.0 overhaul has drastically reduced small car excise duties from 28% to 18% for sub-4 meter petrol cars, with complete cess removal. This is the biggest reduction in decades and a major departure from the norm of increasing taxes. Maruti Suzuki's post-GST price revision has resulted in the S-Presso getting the biggest absolute and percentage price cut, up to ₹1.2 lakh on select variants, bringing its base price down to ₹3.50 lakh.
Market shift
New pricing strategy and fewer airbags in base variant
The new pricing strategy has positioned the S-Presso below the Alto K10, making it a more affordable option for entry-level buyers. The move is part of Maruti Suzuki's plan to recast the SUV-styled S-Presso as the new price-accessible alternative for buyers in a segment that is under severe pressure. The company's decision to offer fewer airbags in the base variant has also contributed to its lower pricing.
Design appeal
More of a hatchback than an SUV
Despite its SUV-like appearance, the S-Presso is more hatchback than SUV in terms of architecture and engineering. Maruti Suzuki is using this elevated stance to target two-wheeler upgraders and young buyers who want road presence but are still price-sensitive. However, whether the quirky design of the S-Presso will attract new buyers with its huge price cut remains to be seen.