How the New GST Could Spark a Festive Bike Buying Boom in India
Calendar 23 Sep 2025 |

The festive season in India is always special. From new clothes and gadgets to cars and bikes, families love upgrading their lifestyle during this time. This year, the excitement could get even bigger.

From 22nd September 2025, a new Goods and Services Tax (GST) structure will come into effect, reducing taxes on automobiles, including two-wheelers. For many of us, this could be the perfect nudge to bring home a brand-new motorcycle or scooter just in time for the festive season.

What’s Changing in GST?

Currently, two-wheelers fall under the 28% GST slab, and larger bikes above 350cc attract an additional 3% cess. This makes motorcycles and scooters costlier for everyday buyers.

Under the new GST structure, the tax slabs will be simplified to 5% and 18%, effectively replacing the current 28% rate with 18% for most two-wheelers.

For buyers, this means a direct reduction in the tax burden. Lower taxes mean lower showroom prices, a welcome change for crores of Indians who rely on two-wheelers for daily commuting.

How Much Can You Save?

Let’s see an example:

Savings: Nearly ₹9,000 on a single bike with new GST status!

Combine this with festive discounts, exchange offers, and financing schemes, and buying a new bike becomes more affordable than ever.

Why Two-Wheelers Benefit the Most

While cars and SUVs will also see reduced GST, two-wheelers are expected to benefit the most:

With the festive season upon us, this GST reduction could light up showrooms nationwide.

Festive Season + GST Cut = Double Benefit

Festivals like Diwali, Dussehra, and Onam are considered auspicious for buying new vehicles. Dealers usually roll out attractive schemes: zero-down payment offers, easy EMIs, or free insurance.

With the GST cut going live from 22nd September, buyers get a double advantage:

Industry experts predict a major surge in bike sales this festive season.

A Golden Opportunity to Upgrade Your Bike

If you’re considering to buy your new bike with exchange offer, Wheels of Trust from Hero MotoCorp makes it simple:

With the GST cut, your new bike becomes even more affordable, saving on taxes and through a hassle-free exchange.

Who Gains the Most?

The GST reduction ensures more people can comfortably own a two-wheeler without stretching their budgets.

Final Thoughts

With the GST reduction coming into effect on 22nd September 2025, India’s bike market is poised for a festive boom. Lower taxes, easy financing, festive schemes, and exchange offers all make this the perfect time to buy.

For anyone thinking about upgrading their ride, the timing couldn’t be better. Wheels of Trust makes bike exchange in showroom easy, while the new GST ensures maximum savings. Keep an eye on the showrooms as it might just be the perfect season to bring home your dream bike.

Calculate your old bike price’s value with our calculator and embrace new savings this festive season!

Young buyers: Looking for their first affordable vehicle

Small towns & villages: Where two-wheelers are essential for mobility

Families: Upgrading from scooters to motorcycles or vice versa

Commuters: Office-goers and students relying on bikes daily

Exchange your old bike for a brand-new Hero motorcycle or scooter at your nearest dealer.

Valuation accounts for year, condition, and location, ensuring a fair price.

Get your bike’s valuation in just 30 seconds.

Festive schemes and exchange offers

Lower prices due to reduced taxes

Price sensitivity: Even a small price drop can prompt buyers who have been waiting for the “right time.”

Largest market segment: Entry-level and commuter bikes (100cc–150cc) dominate the auto market, so tax cuts directly impact the majority.

Essential transport: For most Indian families, bikes and scooters aren’t luxury, they’re daily necessities.

New 18% GST (from 22nd Sept): ₹16,200

Current 28% GST: ₹25,200

Commuter bike ex-showroom price: ₹90,000

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