GST 2.0 changed the fortunes of this car company, sold record breaking vehicles

GST 2.0 changed the fortunes of this car company, sold record breaking vehicles

New Delhi. Mercedes-Benz India has achieved its highest monthly sales in the company's history, driven by strong customer response following the government's GST 2.0 reforms. September 2025 sales increased by 36% compared to September 2024, proving to be a record month for the luxury carmaker.

The festive season further boosted demand, with over 2,500 units sold in just nine days during Navratri, the highest ever festive sales for Mercedes-Benz India. This strong momentum continued into Q2 FY25-26, with 5,119 units sold and total sales from April to September reaching 9,357 units, representing a growth of 4% year-on-year.

Top and Key Luxury Segments Drive Growth Mercedes-Benz India recorded record monthly sales for its flagship SUVs such as the GLS, AMG G63, GLE, GLC and EQS SUVs, reflecting the strong performance of the top-end luxury segment, which witnessed a penetration of 25% and growth of 12% year-on-year. Notably, 75% of top-end vehicles sold were 'Manufacturer' models, which offer individual options and special appointments.

The core luxury segment also contributed significantly, with the long wheelbase E-Class, GLC and GLE SUVs achieving their best ever monthly sales. The LWB E-Class continued to be India's best-selling luxury sedan, registering a growth of 47% year-on-year in Q2 FY 25-26.

Festive spirit and GST 2.0 boost customer sentiment “The overwhelming response in September reflects the pent-up demand following the GST 2.0 reforms, as well as attractive offers under our ‘Dream Days’ campaign,” said Santosh Iyer, Managing Director and CEO, Mercedes-Benz India. “The reduction in GST rates, amid rising car prices due to macroeconomic pressures, has had a positive impact on customer sentiment. We expect this festive shopping momentum to continue till Dhanteras and Diwali.”

Entry Luxury Segment While the entry luxury segment featuring the A-Class sedan and GLA SUV maintains its value proposition and appeal to young buyers, it faced a decline in Q2FY25-26 due to competition from lower priced offers coupled with market incentives.

Mercedes-Benz India's record-breaking September sales underline the brand's strong position in the luxury market, reflecting strong demand across all segments and continued optimism for the remainder of the festive season.

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