We all have our own dream bike to buy or ride on the roads, but the prices these bikes fetch are so high that we cannot afford them, or they just don’t fit in our Budget. Now, here is the new GST 2.0 will come into effect, which will make it harder to buy the dream bike. The New GST 2.0 will come into effect on 22nd September, which will raise the prices of the bike. Royal Enfield Price cut, among the many who acted fast, announced price cuts of magnitude across its much-loved 350cc portfolio.
GST 2.0 and Its Impact on Motorcycles
Motorcycles were previously charged 28% GST; bikes beyond 350cc were subjected to another 3% cess, making for an effective rate of about 31%. In GST 2.0, slabbing has been simplified:
Motorcycles up to 350cc → 18% GST (down from 28%).
Motorcycles above 350cc → 40% GST flat (up from 31%).
Royal Enfield Responds with Price Cuts
Having dominated the middleweight motorcycle market for some time, Royal Enfield, a legendary brand, has acted swiftly to ensure consumers take advantage of the GST cut. This price reduction announcement sees the price going down by as much as ₹22,000 for its 350cc brand and comprises. Which is good news for us, now we can buy and feel the premium feel of the bike, which is the motive of the Royal Enfield Price cut and like other bike brands.
Hunter 350, Classic 350, Bullet 350, Meteor 350, Goan Classic 350
This has been praised by the enthusiasts and first-time buyers alike. The existing 350cc models of Royal Enfield are already some of the best-selling motorcycles in India; the reduced prices will further enhance their attractiveness to anyone looking for performance, heritage, and value.
Why GST 2.0 Benefits the Mass Market
Hence, slab design was done to boost affordable mobility, keeping luxury as a premium segment. Taxes on bikes with engines less than 350cc are being cut down by the government to help build up a daily commuting motorcycle that falls under the entry-level category. Therefore, manufacturers like Royal Enfield, who already hold supremacy in this category, now have the opportunity to further grow and attract more riders.
My Thoughts
GST 2.0 is an inducer for the two-wheeler industry. Whereas it makes premium bikes expensive, GST 2.0 is a relief for daily riders. Royal Enfield slashing prices on its 350cc range is indicative of how fast brands are responding to this changing landscape. Never has there been a better time to go home with a Classic or a Bullet for a Royal Enfield buyer.
Royal Enfield Price cut 350cc range, being cheaper and more accessible, means that GST 2.0 has created a real synergistic effect for both the brand and its end consumers.