The recent reduction in GST rates for automobiles has sparked optimism across the industry. At first glance, lower taxation should make new vehicles more attractive to buyers by reducing upfront costs.

But the bigger question is — will this truly drive a significant uplift in new car and bike purchases?

With rising attrition in the job market, cautious hiring trends, and broader economic uncertainties, many consumers are prioritizing financial security over discretionary spending. This means that while the tax relief may provide short-term traction, sustained growth in the auto sector will likely depend on income stability, credit availability, and consumer confidence rather than taxation alone.

👉 What are your thoughts?
Do you believe GST reductions will be enough to revive demand, or will structural economic factors continue to weigh on buyer sentiment?