Mahindra, Tata, Hyundai, and Kia Slash EV Prices by Up to ₹3.5 Lakh in Year-End Inventory Clearance Drive

Leading automakers have initiated record year-end discount offers on electric vehicles (EVs) to tackle sluggish demand and clear existing inventory, as per news reports.  

This move comes in response to a recent GST reduction on petrol and diesel models, which has expanded the price gap between internal combustion engine (ICE) vehicles and EVs, affecting the latter’s sales. 

Automakers Roll Out Discounts up to ₹3.5 Lakh on Electric Models 

Tata Motors, Mahindra & Mahindra, Hyundai, and Kia have introduced substantial price cuts on their electric portfolios. Tata Motors is offering benefits up to ₹3.5 lakh on its Curvv RS EV model.  

Mahindra has matched this with ₹3.5 lakh incentives on its XEV 9e model. JSW MG Motor is also running a ‘Mid-Night Carnival’ offering up to ₹1 lakh off on the Comet EV and up to ₹1.35 lakh on the ZS EV. 

These reductions are positioned as limited-time year-end schemes, aiming to improve market movement in the electric segment. ICE models are also seeing offers, but discounts remain significantly lower than for electric counterparts. 

GST Reduction on Petrol and Diesel Cars Shifts Demand Pattern 

The GST cut introduced on September 22 has made ICE vehicles more affordable, thereby reducing the relative cost competitiveness of EVs.  

This has resulted in a shift in purchasing patterns. Data reveals that EV penetration fell to 3.7% in November 2025, down from 5% before the GST tweak. In contrast, overall vehicle registrations jumped. 

October 2025 registered 5,57,000 vehicles, marking an 11% rise year-on-year. EVs accounted for just 3.2% of these purchases. By November, total vehicle registrations reached 3,94,152, with EVs forming 3.7% of this number. 

Read More: Ola Electric Share Price in Focus; Commences Mass Deliveries of 4680 Bharat Cell Powered Vehicles! 

Luxury EVs Continue to Attract Buyers Without Heavy Discounts 

In contrast, the luxury EV market remains stable with low discounting levels. Models like BMW’s iX1, which contributes up to 90% of the company’s EV sales in India, continue to have waiting periods averaging 4 months.  

The closer pricing parity between luxury EVs and their ICE alternatives has helped maintain steady sales without the need for aggressive discounting. 

Conclusion 

Year-end discounts have become a key tool for automakers to boost EV sales amid declining demand. The widening price difference due to GST changes has nudged many consumers towards ICE models, making inventory clearance a priority for EV manufacturers. 

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