What’s inside:
This article covers the recent tax cuts on two-wheelers in India and how it affects scooter and bike prices.
The sale of two-wheelers in India is on the rise, with many people using them for daily activities and commuting to work. On 22 September 2025, a new tax structure known as GST 2.0 was introduced, reducing the tax on vehicles under 350cc from 28% to 18%. This change has directly benefited customers by lowering the prices of popular scooters and bikes.
One of the most popular scooters, the Honda Activa, has become cheaper after the GST cut. The price of the Activa 110 STD is now Rs 74,713. Additionally, the Activa 110 DLX and Anniversary Edition have seen price drops of up to Rs 7,000. Even the Activa 125cc models have become more affordable, with price reductions exceeding Rs 7,500.
Hero Motocorp has also passed on the benefits of the GST deduction to its customers. The prices of all variants of the Hero Splendor Plus have decreased, ranging from Rs 6,000 to Rs 7,253. The most basic model, the Splendor Plus Drum, is now offered at Rs 73,903, making it a very affordable option for buyers.
Here are some key points to note:
- The Splendor Plus Drum is the cheapest variant at Rs 73,903.
- The Honda Activa 110 STD costs Rs 74,713, which is higher than the Splendor but still competitive.
- Both brands have reduced prices significantly, benefiting customers across various models.
Moving forward, customers can expect more price adjustments as the market responds to the new GST rates. This change is likely to increase the affordability and attractiveness of two-wheelers in the Indian market.
Summary:
- GST 2.0 has reduced vehicle tax from 28% to 18% for bikes under 350cc.
- Honda Activa prices have dropped, making it more affordable.
- Hero Splendor Plus prices have decreased by Rs 6,000 to Rs 7,253.
- The Splendor Plus Drum is now the cheapest variant at Rs 73,903.
- Customers can expect ongoing changes in two-wheeler pricing.
