Jeep Slashes Prices By Up To Rs. 4.8 Lakh Under GST 2.0 Reforms

GaadiWaadi –

Jeep Wrangler gets the highest benefit as its prices have been reduced by up to Rs. 4.84 lakh while the Compass, Meridian and Grand Cherokee also see price drops

The central government’s GST 2.0 reforms have lowered tax slabs across multiple passenger vehicle categories. Jeep India has responded by announcing price reductions of up to Rs. 4.8 lakh on its SUV range – making models like the Compass, Meridian, Wrangler and Grand Cherokee significantly less expensive.

The new prices will come into effect from September 22, 2025 in line with the nationwide implementation of the revised GST rates. The GST 2.0 framework has rationalized slabs across the board. For example, small petrol-powered PVs measuring under four metres with engines below 1,200 cc now attract 18 per cent GST instead of 29 per cent while small diesels under four metres with engines below 1.5 litres have dropped from 31 per cent to 18 per cent.

The midsize segment sedans and SUVs which previously attracted 45 per cent tax now fall under 40 per cent. Large SUVs and premium vehicles that were taxed at 48–50 per cent have also been rationalized to 40 per cent.  The changes have had a huge impact on larger SUVs. As for Jeep, the Wrangler sees a price cut of up to Rs. 4.84 lakh – making it the biggest gainer in Jeep’s portfolio.

Also Read: Jeep Grand Cherokee Signature Edition Launched At Rs. 69.04 Lakh

The flagship Grand Cherokee is cheaper by as much as Rs. 4.50 lakh while the Compass and Meridian receive benefits of Rs. 2.16 lakh and Rs. 2.47 lakh respectively. Making the announcement, Kumar Priyesh, Business Head & Director – Automotive Brands, Stellantis India, said “The GST reform is a transformative step that brings clarity and affordability for customers. We are delighted to pass on the full benefit to our buyers, making the Jeep lifestyle more accessible than ever,”

The restructuring comes at a critical time for the industry. Over the last few years, car prices in India have surged repeatedly due to rising input costs, stricter safety and emission regulations and fluctuating exchange rates. With GST 2.0 lowering the tax burden, manufacturers finally have some room to breathe.

Also Read: Jeep Compass & Meridian Trail Editions Launched At Rs. 25.41 Lakh

Consequently, customers are presented with an incentive to step into higher segments that may have previously felt out of reach. From a market perspective, the reforms are expected to fuel demand in the festive season. SUVs which already account for a dominant share of India’s passenger vehicle market could see accelerated growth.

With Jeep passing on the entire benefit, the brand might have positioned itself to capture new interest from both new customers and existing SUV buyers considering an upgrade.

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