Royal Enfield Prices Reshuffled: Small Bikes Drop, Big Bikes Jump

From September 22nd, the GST on two-wheelers under 350cc has dropped from 28% to 18%. This makes models like the Hunter, Classic, Meteor, Goan Classic and Bullet cost less. But bigger beefy machines: Himalayan, Guerrilla, Scram, and the entire 650cc range now face a hefty 40% GST, up from 31%. This story affects nearly 87% of Royal Enfield’s sales and could shape riding dreams this festive season.

Who Wins: The 350cc Models

Low-capacity bikes just got friendlier. The GST council cut their rate to 18%. That makes models like the Hunter 350 and Classic more affordable. These bikes account for around 87% of its sales, so that lower prices may boost demand.

Who Loses: The Bigger, Premium Bikes

On the flip side, premium and adventure-touring bikes are hit hard. Himalayan, Guerrilla, Scram, and 650cc models now attract 40% GST. That’s a big price jump. Experts worry this might slow down sales of aspirational Royal Enfield models.

Royal Enfield’s Plea for Balance

Royal Enfield asked the GST Council to adopt a uniform 18% rate for all motorcycles. CEO Siddhartha Lal said the split tax system may hurt India’s global bike industry and the growth of higher-capacity models.

Siddhartha Lal, Eicher Motors Executive Chairman, said: "By delivering exceptional value, we are drawing riders worldwide to shift from larger, higher-displacement machines to Indian-made mid-size motorcycles. To sustain this momentum, a uniform GST of 18 per cent across all two-wheelers is critical."

He also added, "Lowering GST for less than 350cc will help broaden access, but raising GST for over 350cc would damage a segment vital to India’s global edge.”

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