Mixed impact for Royal Enfield
Royal Enfield, the largest player in the 350-650cc motorcycle segment, will see growth opportunities in his high volume 349cc bicycles, but higher loads will influence its premium and ambitious models. The change comes at a time when the Himalayas and Guerrilla gained strength in the adventure tourer and Roadster segments, while the 650cc range had become one of the best-selling premium motorcycles in India. Consider whether the Bikemaker decides to pass on all the benefits of GST -RateVisions, the expected price increase or reduction is estimated below.
Expected prices of Royal Enfield -bikes after new GST rate
| Bicycle model | Engine capacity | Current price* (28% GST + 3% CESS) | Expected price (40% GST or 18% according to the engine capacity) | Expected price increase or reduction |
| Royal Enfield Hunter 350 | 349 CC | £ 1,49,900 | £ 1,34,910 | – £ 14,990 |
| Royal Enfield Classic 350 | 349 CC | £ 1.93,000 | £ 1.73,000 | – £ 20,000 |
| Royal Enfield Meteor 350 | 349 CC | £ 2,05,191 | £ 1,85,191 | – £ 20,000 |
| Royal Enfield Bullet 350 | 349 CC | £ 1.73,000 | £ 1.57,000 | – £ 17,000 |
| Royal Enfield Goan Classic 350 | 349 CC | £ 2.35,000 | £ 2.11,500 | – £ 23,500 |
| Royal Enfield Himalayan 450 | 452 CC | £ 2.85,000 | £ 3,10,650 | + £ 25,650 |
| Royal Enfield Guerrilla 450 | 452 CC | £ 2.39,000 | £ 2,60500 | + £ 21,510 |
| Royal Enfield Scram 440 | 443 cc | £ 2.08,000 | £ 2,26,700 | + £ 18,720 |
| Royal Enfield Super Meteor 650 | 648 CC | £ 3.72,000 | £ 4.05,480 | + £ 33,480 |
| Royal Enfield Shotgun 650 | 648 CC | £ 3.67,000 | £ 4.00.030 | + £ 33,030 |
| Royal Enfield Interceptor 650 | 648 CC | £ 3.09.551 | £ 3,37,400 | + £ 27,859 |
| Royal Enfield Classic 650 | 648 CC | £ 3.36,610 | £ 3.66.904 | + £ 30.294 |
| Royal Enfield Bear 650 | 648 CC | £ 3.46,000 | £ 3,77,100 | + £ 31,100 |
(* The current price begins the ex-showroom, which can change according to the variants and color)
Company’s Call for Uniform GST
Prior to the decision of the GST Council, Royal Enfield had requested a uniform rate for all motorcycles. Cars attract 28 percent GST, the highest plate, with an extra compensation stop, depending on the vehicle type before the overhaul.
In a LinkedIn post, Eicher Motors-executive chairman Siddhartha Lal said that Indian companies had said: “By delivering exceptional value, we are pulling riders worldwide to switch from larger machines with a higher movement to the Indian made medium-sized motorcycle filth.
He added: “Lowering GST for less than 350 cc will help broaden access, but increasing GST for more than 350 cc would damage a segment that is vital for the global lead of India.” Lal warned that a differential tax rate can reduce the domestic more than 350cc segment and reduce the investments needed for India to compete worldwide. He noticed that motorcycles above 350cc form only about 1 percent of India’s two -wheelers market, and higher taxes would not add much income, but would harm the growth. “Increasing GST would add a negligible income, but contract the segment. For the Indian riders, these motorcycles are no longer luxurious goods; he said they are a lower fuel input.
(Disclaimer: All prices are based on official websites and sources from the industry. Contact your nearest dealer for the exact ex-showroom price.)
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