The recent GST reforms have not only made economical cars more affordable but have also made luxury segment cars more attractive for buyers. With the new unified 40 percent GST kicking in just before the festive season, the price drops on luxury car models are up to lakhs of Rupees, making the prospect of owning a luxury vehicle even more attractive. Here's one German luxury car brand that made the most of the ongoing car-buying rush.
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In September 2025, Mercedes-Benz India achieved its highest-ever monthly sales in the history of its India business. Once the GST benefits kicked in on September 22, Mercedes-Benz sales broke even more records during the Navratri period.
One such record is that the brand sold one Mercedes-Benz car every six minutes on average.
The numbers support the claim as between September 22 to September 30, Mercedes-Benz sold over 2,500 cars, which was a personal best for the carmaker. For perspective, Mercedes-Benz sold 5,119 cars in Q2 FY 25-26 (Between July, August and September) and over 2,500 of these cars were sold in the last week of September.
Moreover, it was the high-end models of Mercedes-Benz that were the most sought after by customers. These include the best-selling E-Class LWB, GLC, GLE and GLS SUVs and the AMG G63 SUVs. Post GST 2.0, price drops on these popular models range between Rs 5.3 lakh to Rs 10 lakh for the non-AMG cars.
Electric car sales also remained steady for Mercedes-Benz India and grew by 10 percent. The EQS SUV was the top-selling BEV for the brand and electric vehicles contributed to 8 percent of overall sales for the carmaker. The Mercedes-Benz 'Core Portfolio', which includes models like the E-Class LWB, GLC and GLE, continued to carry the brand forward in Q2 FY 25-26. These core models account for 60 percent of the overall demand for the brand and registered a 10 percent growth. Out of these, the E-Class LWB is the most popular with a starting price of Rs 78.50 lakh ex-showroom.
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