Buy a Mercedes, Get a Tata Nexon Free: Mercedes Price Drop Up to 11 Lakh After GST Revision

Imagine saving enough on a Mercedes to almost buy a Tata Nexon for free! The dream come true as Mercedes’ price dropped in India, with reductions going up to ₹11 lakh across its luxury sedan and SUV range.

The GST Council’s decision to implement a uniform 40% GST rate on luxury cars, effective September 22, 2025. Now, without additional compensation cess, ex-showroom prices for Mercedes-Benz models are 5–8% cheaper. Electric vehicles remain unaffected and will continue under the 5% GST slab.

Mercedes-Benz India’s Statement

“In line with our commitment to our customers, we are pleased to share that Mercedes-Benz India will be passing on the entire benefit of the GST reduction directly to the end customers.”

Mercedes Price Drop – Updated Ex-Showroom Prices

SUVs After GST 2.0

GLA 220d 4MATIC AMG Line	56.50 lakh	52.70 lakh	3.8 lakh
GLC 300 4MATIC	79.25 lakh	73.95 lakh	5.3 lakh
GLE 450 4MATIC	1.15 crore	1.07 crore	8 lakh
GLS 450d AMG Line	1.44 crore	1.34 crore	10 lakh

Sedans After GST 2.0

A200d	48.55 lakh	45.95 lakh	2.6 lakh
C300 AMG Line	68.00 lakh	64.30 lakh	3.7 lakh
E-Class LWB 450 4MATIC	97.00 lakh	91.00 lakh	6 lakh
S 450 4MATIC	1.99 crore	1.88 crore	11 lakh

E-Class Steals the Spotlight

The E-Class Long Wheelbase, one of Mercedes’ most popular models in India, gets a huge price drop across its variants:

E200 Petrol – Now ₹78.5 lakh (down ₹6.2 lakh)
E220d Diesel – Now ₹80.5 lakh (down ₹5.5 lakh)
E450 4MATIC AMG Line – Now ₹91.7 lakh (down ₹6.2 lakh)

This price drop makes the E-Class more competitive against the BMW 5 Series and Audi A6, just in time for the festive season.

Entry Models Become More Accessible

The GLA SUV and A-Class Limousine see reductions of ₹3–4 lakh. This drop will encourage first-time luxury buyers to upgrade and make stepping into the Mercedes family much easier.

Mid-Segment Models Gain Value

Mercedes’ core sellers like the C-Class and GLC SUV are now stronger propositions against rivals from BMW and Audi:

C-Class – Average cut of ₹5–6 lakh
GLC SUV – Average cut of ₹6–7 lakh

These are key executive and family car segments where price plays a huge role in buyer decisions.

Flagship Models Deliver the Biggest Savings

For the flagship models, Mercedes has cut prices on its most premium offerings:

S-Class – Up to ₹11 lakh cheaper
GLS SUV – ₹10 lakh reduction
Maybach models – Double-digit lakh savings

In this range, a saving of ₹8–11 lakh is nearly the cost of a top model Tata Nexon, making the headline “Buy a Mercedes, Get a Tata Nexon Free” a reality in terms of money saved.

BMW Joins the Price Cut Wave

Mercedes isn’t alone. BMW India has also passed on GST benefits, with price drops of up to ₹9 lakh:

X1 – Down ₹1.8 lakh
X5 – Down ₹6.3 lakh
X7 – Down ₹9 lakh
3 Series LWB & 5 Series – ₹3–4 lakh reductions

Why the GST Change Matters

Earlier, luxury cars attracted a 48–50% tax (28% GST + 20–22% cess). With GST rationalisation:

A flat 40% tax now applies to all luxury cars.
No additional cess applies.
EVs continue under the 5% GST bracket.

This has led automakers to drop ex-showroom prices, making luxury ownership more affordable.

Conclusion

With prices cut by as much as ₹11 lakh, Mercedes-Benz has just made luxury cars in India more affordable. Whether it’s the entry-level GLA or the flagship S-Class, buyers now get an unmatched value like paying for a sleeper class, auto-upgraded to First AC.

So if you’ve been waiting for the right time to bring home a luxury icon, this GST revision might just be your golden opportunity.

FAQs

1. Which Mercedes model got the biggest price cut?
The S 450 4MATIC, with a reduction of ₹11 lakh.

2. Are electric Mercedes cars cheaper now?
No, EVs remain under the 5% GST bracket, so prices are unchanged.

3. Do BMW cars also have price cuts?
Yes, BMW has announced reductions of up to ₹9 lakh across SUVs and sedans.

4. Is the price cut permanent?
Yes, as long as the GST structure remains, these prices are the new standard.