Renault Kwid Price After GST Cut - Old vs New Price of Kwid

Published on 19 Sept, 2025, 9:21 AM IST

Updated on 19 Sept, 2025, 9:31 AM IST

Team Ackodrive

6 min read

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The Renault Kwid has established itself as one of the most accessible and stylish entry-level hatchbacks in the Indian market. Compact yet bold in design, it combines SUV-inspired looks with practicality and affordability, making it a popular choice among first-time buyers and budget-conscious families. Its 1-litre petrol engine, offered with both manual and AMT transmission options, ensures the Kwid delivers efficiency without compromising on convenience.

Until recently, small petrol cars like the Kwid were taxed at 28% GST and 1% cess, bringing the total to 29%. This indirect tax burden pushed up the ex-showroom price, making the car slightly more expensive for buyers in the entry-level segment, where affordability matters most.

With the implementation of GST 2.0, effective September 22, 2025, the cess has been removed, and the Kwid now falls under a simplified 18% GST slab. This results in an 11% tax reduction, which translates into a price drop of around ₹40,000–₹54,000 depending on the variant. The Renault Kwid is now even more competitive against rivals like the Maruti Alto K10.

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Renault Kwid (Petrol Variants) New Prices after the GST Cut

The Kwid is available exclusively with a 1.0-litre petrol engine that is tuned for efficiency and urban usability. Under the new GST system, its variants benefit from a drop in total tax from 29% to 18%. This reduction makes the Kwid one of the most affordable cars in its category, offering excellent value for money to budget-focused buyers. For young families or first-time owners, the Kwid is now a more appealing option than ever.

Kwid Variant	Old Price (Ex-showroom)	New Price (Ex-showroom)	Reduction	Reduction (%)
1.0 CLIMBER AMT (DT)	₹6,44,995	₹5,90,000	₹54,995	8.53%
1.0 CLIMBER AMT	₹6,32,995	₹5,79,000	₹53,995	8.53%
1.0 CLIMBER (DT)	₹5,99,995	₹5,48,800	₹51,195	8.53%
1.0 RXT AMT	₹5,99,995	₹5,48,800	₹51,195	8.53%
1.0 CLIMBER	₹5,87,995	₹5,37,900	₹50,095	8.52%
1.0 RXL(O) AMT	₹5,54,995	₹5,07,700	₹47,295	8.52%
1.0 RXT	₹5,54,995	₹5,07,700	₹47,295	8.52%
1.0 RXL(O)	₹5,09,995	₹4,66,500	₹43,495	8.53%
1.0 RXE	₹4,69,995	₹4,29,900	₹40,095	8.53%

Why have the prices been reduced for the Renault Kwid?

The Kwid qualifies as a small petrol car, defined as a vehicle under 4 metres in length and with a petrol engine up to 1200cc. Here’s how the taxation has changed under GST 2.0.

Category	Old GST	Old Cess	Old Total Tax	New GST	New Total Tax	Change in Tax
Small cars (under 4m, ≤1,200cc petrol/CNG)	28%	1%	29%	18%	18%	11% lower than before

By eliminating the cess and streamlining the tax rate, GST 2.0 has directly lowered ex-showroom prices. For entry-level buyers — the Kwid’s core audience — this makes a tangible difference to affordability and ownership costs.

When are the new rates applicable?

The revised GST rates are applicable from September 22, 2025. Any Renault Kwid variant invoiced, billed, or delivered after this date will reflect the reduced ex-showroom pricing under the 18% GST rate.

If you are planning to get your first car or are on a budget, the Renault Kwid could be an ideal option. With the new GST rates for small cars, you can save up to ₹54,000, depending on the variant you choose.

Disclaimer: The new prices mentioned in this article are tentative and based on the revised GST rates applicable from 22 September 2025. Final ex-showroom prices may vary slightly as manufacturers and dealerships update their pricing structures in line with the new taxation policy.

Frequently Asked Questions

Here are a few commonly asked questions and their answers about the Renault Kwid price cut after the GST reduction.

How much has the Renault Kwid price reduced after GST 2.0?

Buyers can now save between ₹40,000 to ₹54,000 depending on the variant.

Which tax category does the Kwid fall under?

The Kwid falls under the small petrol car category (under 4m, ≤1200cc engine).

What is the new GST rate for the Kwid?

The Kwid now attracts a flat 18% GST with no cess, compared to the earlier 29% (28% GST + 1% cess).

Will the on-road price of the Kwid also reduce?

Yes. Since the ex-showroom price has reduced, buyers will also pay less for registration, insurance, and road tax.

Is GST 2.0 a temporary change?

No. GST 2.0 is a structural tax reform, meaning the reduced 18% GST slab will remain in effect unless the government revises it in the future.

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