Royal Enfield has announced it will fully pass on the benefit of the recent Goods and Services Tax (GST) rate revision to its customers. The announcement comes in response to the Indian government's new GST structure aimed at stimulating consumption in the two-wheeler segment.
Royal Enfield Revises Prices, Effective from 22 September 2025
The revised GST rates will come into effect from 22 September 2025, and will impact the pricing of Royal Enfield motorcycles, services, accessories, and apparel across India. With this development, Royal Enfield is expected to make significant adjustments across its entire product lineup, particularly affecting motorcycles based on engine capacity.

Royal Enfield to Pass Full GST Benefit to Customers Across Bikes, Services and Accessories
Royal Enfield, a subsidiary of Eicher Motors Ltd., has confirmed that it will transfer the entire GST benefit directly to customers, meaning buyers of sub-350cc motorcycles will see a direct price reduction starting 22 September. This pricing strategy will apply not just to motorcycles, but also to Royal Enfield's official services, accessories, and apparel.
In an official statement, B Govindarajan, CEO of Royal Enfield and Managing Director of Eicher Motors announced, "The Government of India's latest GST reform will not only make motorcycles under 350cc more accessible but will also excite first-time buyers. Royal Enfield is delighted to announce that we are passing the full GST benefit of the price revision directly to our consumers."
Lower Pricing for Royal Enfield's 350cc Models: Hunter 350, Bullet 350, Classic 350, and Goan Classic 350
Royal Enfield's most popular and best-selling models; Hunter 350, Bullet 350, Classic 350, and Goan Classic 350, fall under the sub, 350cc category, which now benefits from a reduced GST rate of 18%, down from 28%. As a result, these motorcycles are expected to become significantly more affordable starting 22 September 2025, when the new tax rates are officially implemented.
Though the company has not yet released the exact revised prices, Royal Enfield has confirmed that the entire GST benefit will be passed on to customers, leading to a direct reduction in the on-road prices of these bikes. This price drop is likely to enhance the accessibility of Royal Enfield motorcycles, especially among younger buyers and first-time riders - a demographic the brand has been focusing on in recent years with models like the Hunter 350.
This move is expected to boost sales in the entry and mid-range motorcycle segment, reinforcing Royal Enfield's dominance in the 350cc category, which has long been the cornerstone of its success in the Indian market.
Price Hike for Premium Models: Himalayan 450, Guerilla 450, and 650cc Line-Up
In contrast to the price cuts for the 350cc range, Royal Enfield's premium and larger-displacement motorcycles will see a price increase due to the government's revised GST policy. Motorcycles with engines above 350cc will now attract a 40% GST rate, up from the earlier effective rate of 31% (28% + 3% cess).
This tax hike will directly impact models such as the Himalayan 450, Guerilla 450, and the entire 650cc range, which includes the Interceptor 650, Continental GT 650, and Super Meteor 650. These bikes will become noticeably more expensive after 22 September, potentially affecting their affordability and market appeal.
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