Auto Rickshaw Prices Drop After GST Cut

By Jony Shekhawat | Published Date : September 08, 2025

GST on auto rickshaws is cut to 18 percent, reducing prices by 5 to 8 percent. Buyers can now save up to Rs. 28,000 across leading models.

The latest cut in Goods and Services Tax has brought good news for auto rickshaw buyers. Earlier, these vehicles were charged with higher tax rates, which made them expensive for drivers and small business owners. Now the GST rate has been reduced to 18 percent. This decision is giving direct savings to people who plan to buy new autos.

How Much is the Price Drop?

Table Of Contents

1. How Much is the Price Drop?

2. New Prices of Popular Models

3. Impact on Buyers and Drivers

4. Benefit for the Electric Segment

5. Boost for the Market

6. Final Word

The price cut is around 5 to 8 percent on most models. If a three-wheeler was costing Rs. 2.5 lakh earlier, now the buyer will pay Rs. 12,500 to Rs. 20,000 less. For higher-priced models close to Rs. 3.5 lakh, the reduction can reach up to Rs. 28,000. This is a strong benefit for drivers who depend on these vehicles for daily earnings.

New Prices of Popular Models

Here is the updated price list of top models after the new GST cut. The rates are approximate and may vary from city to city, but they show the clear difference buyers will now enjoy.

• Bajaj RE: Rs. 2.05 lakh to Rs. 2.47 lakh
• Bajaj Maxima X Wide: Rs. 2.20 lakh to Rs. 2.30 lakh
• TVS King Deluxe: Rs. 2.28 lakh to Rs. 2.57 lakh
• Piaggio Ape E City: around Rs. 2.65 lakh
• Piaggio Ape Auto DX: Rs. 2.30 lakh to Rs. 2.45 lakh
• Mahindra Treo: around Rs. 2.60 lakh
• Mahindra Alfa: Rs. 2.45 lakh to Rs. 2.55 lakh
• Atul Gem Paxx: Rs. 2.20 lakh to Rs. 2.35 lakh
• Atul Elite Plus Electric: Rs. 1.65 lakh to Rs. 1.80 lakh
• Bajaj GoGo Electric: around Rs. 3.53 lakh
• Lohia Comfort E Auto: Rs. 1.55 lakh to Rs. 1.70 lakh
• Kinetic Safar Smart: Rs. 1.50 lakh to Rs. 1.65 lakh
• Saarthi Shavak Electric: Rs. 1.60 lakh to Rs. 1.75 lakh

Impact on Buyers and Drivers

The fall in price will directly help small drivers, fleet owners and transport companies. Many drivers wait for the right time to buy a new auto because the cost is high compared to their daily earnings. Now with a lower upfront cost, more people will be able to make the purchase. This is also expected to increase demand for finance and loans for commercial vehicles.

Benefit for the Electric Segment

Electric autos will also get the same price benefit. Models like Mahindra Treo, Bajaj GoGo Electric, and Atul Elite Plus are already popular in cities because of their low running costs. With the GST cut, the difference between fuel autos and electric autos has become smaller, which will give more confidence to buyers to shift towards electric.

Boost for the Market

This tax reduction has come just before the festive season, which is usually the strongest period for sales. Dealers expect that more drivers will come forward to book new autos. A rise in sales will also help manufacturers who have been facing slow demand in the last year. The government's move is seen as a step to support the commercial vehicle sector and give relief to small transport operators.

Final Word

With GST now at 18 percent, auto rickshaw buyers can look forward to real savings. From petrol and CNG models to new electric 3-wheelers, the lower tax has made all segments more affordable. For thousands of drivers, this price cut is not just a saving but a chance to start or expand their daily business with less financial pressure.

Also Read: Best Electric Auto Rickshaw in India: Mahindra Treo or Piaggio Ape E City?

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Frequently Asked Questions on Vans

Q1. Why did auto rickshaw prices fall recently?

Ans. The prices have dropped because the GST rate on auto rickshaws was reduced to 18 percent. This cut has reduced the prices of all models by 5 to 8 percent.

Q2. How much money can buyers save after the GST cut?

Ans. Buyers can save between Rs. 12,500 and Rs. 28,000 depending on the model and price range of the auto rickshaw.

Q3. Which auto rickshaw brands are included in the new price list?

 Ans. Popular brands like Bajaj, TVS, Piaggio, Mahindra, Atul, Lohia, Kinetic and Saarthi are included in the updated list.

Q4. Are electric auto rickshaws also cheaper now?

 Ans. Yes, electric autos such as Mahindra Treo, Bajaj GoGo Electric and Atul Elite Plus are also available at lower prices after the GST cut.

Q5. How will this change impact drivers and small businesses?

Ans. Lower prices will help drivers and small fleet owners reduce their initial investment. This will make it easier to buy new autos and expand their work without heavy financial pressure.

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