Post by : Armust Desk
Starting September 22, 2025, the Indian government has revised the Goods and Services Tax (GST) for motorcycles. This change directly affects the prices of Royal Enfield bikes, one of the most popular motorcycle brands in India. Some models will become cheaper, while others, especially premium bikes, will become more expensive.
Royal Enfield has a wide range of motorcycles, from small 350cc bikes like the Hunter 350 and Classic 350 to larger bikes like the Himalayan and Interceptor 650. The new GST rates create a clear distinction between smaller and larger motorcycles, affecting both buyers and the company’s sales strategy.
GST Reduction for Bikes Under 350cc
For motorcycles with engine capacity below 350cc, the GST has been reduced to 18% from the earlier 28%. This reduction means buyers will pay less tax, which directly reduces the final price of these bikes.
Some of the popular Royal Enfield bikes that have become more affordable are:
Hunter 350: The entry-level Royal Enfield bike is now priced at ₹1,34,910, down from ₹1,49,900. Buyers save nearly ₹15,000.
Classic 350: Known for its timeless design, this bike’s price drops from ₹1,93,000 to ₹1,73,000, saving ₹20,000.
Meteor 350: A cruiser bike loved by long-distance riders, now costs ₹1,93,000, reduced from ₹2,10,000.
Goan Classic Edition: A limited edition model now comes at ₹1,98,000 instead of ₹2,15,000.
Bullet 350: The retro and iconic model now costs ₹1,25,000, down from ₹1,40,000.
This reduction will make Royal Enfield bikes more accessible, especially for first-time buyers or younger riders who are looking for reliable motorcycles at a reasonable price.
GST Increase for Bikes Above 350cc
Motorcycles with engine capacities above 350cc will now have a GST of 40%, an increase from the previous 28%. This change affects premium models, which are now more expensive to buy.
Some of the affected bikes are:
Himalayan 450: The adventure touring bike now costs ₹3,12,000, up from ₹2,85,000.
Guerrilla 450: A new addition to the lineup, its price rises to ₹2,61,000 from ₹2,39,000.
Scram 440: The scrambler model now costs ₹2,28,000, up from ₹2,08,000.
Interceptor 650: A twin-cylinder cruiser, now priced at ₹3,38,000, up from ₹3,09,000.
Continental GT 650: This cafe racer model rises to ₹3,55,000 from ₹3,25,000.
Super Meteor 650: The bigger cruiser is now ₹3,78,000, up from ₹3,46,000.
Shotgun 650 & Interceptor Bear 650: Both premium bikes see an increase from ₹3,46,000 to ₹3,78,000.
This increase may affect sales of premium bikes, as buyers may reconsider purchasing these expensive models due to the higher taxes.
How It Impacts Royal Enfield’s Sales
Royal Enfield’s main sales come from motorcycles under 350cc, which account for nearly 87% of total sales. With the GST reduction, these bikes are likely to become even more popular. First-time buyers, daily commuters, and young riders may find models like Hunter 350 and Classic 350 more affordable, which could boost sales during the festive season.
On the other hand, the increased GST on motorcycles above 350cc could slow down sales of premium models such as the Himalayan and Interceptor 650. These models appeal to adventure riders and experienced bikers who are willing to pay extra for larger engines and better performance.
Royal Enfield has suggested a uniform GST across all motorcycles to avoid large price gaps and maintain fairness. However, the government’s current decision clearly favors smaller motorcycles over larger, premium models.
The new GST structure brings a mixed situation for buyers. For motorcycles under 350cc, this is excellent news, as models like Hunter 350 and Classic 350 become more affordable. For premium motorcycles above 350cc, including the Himalayan, Interceptor 650, and Continental GT 650, prices are now higher.
Potential buyers should carefully consider these changes before purchasing. If someone wants a budget-friendly Royal Enfield, now is the perfect time to buy smaller bikes. Those interested in premium motorcycles must be prepared for higher prices due to increased GST.
The GST update reflects the government’s focus on reducing taxes for small bikes while increasing revenue from premium bikes. Overall, it changes how buyers plan to purchase Royal Enfield motorcycles across India.
Royal Enfield, GST 2025, Hunter 350, Classic 350, Himalayan, Interceptor 650
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