Pay More For These Bikes - Full List!

Quick News Highlights:

• All motorcycles above 350cc now face a steep 40% GST

• The older GST + cess applied on these bikes was 31%

• New GST rates will be effective from September 22

The latest GST rate announcement is making major waves in the Indian two-wheeler scene – especially the above 350cc segment. These new rates will be in effect from 22 September, 2025. 

Under the revised structure, two-wheelers below 350cc will now attract 18% GST, down from the earlier 28%. However, the catch lies with larger capacity two-wheelers. Motorcycles with an engine capacity above 350cc will now attract a 40% GST, a sharp increase from the earlier 31% (28% GST + 3% cess). This is because bikes that are above 350cc are now categorised as ‘Sin and luxury items’ as per the GST slab chart. Unfortunately, this hits aspirational buyers, enthusiasts and manufacturers in the premium bike space hard, especially the 440-650cc Royal Enfield bikes, KTM 390 range, Triumph 400s, Aprilia 457s, Kawasaki, and more.

Which Bikes Have Become More Expensive?

Here’s a look at some popular 350-650cc models and how their effective ex-showroom prices could be impacted:

The Takeaway

This new GST rule has created a sharp divide in the two-wheeler market. On one hand, the real people movers as well as starter motorcyclists might not have to shell out more to get their desired two-wheelers, and hence manufacturers can expect a boost in sales during the festive season. On the other hand, premium motorcycle buyers will have to shell out significantly more.

Here we have covered only the popular bikes up to 650cc, but the new GST tax is applicable even on other bigger capacity bikes like the BMW R 1300 GS or a Ducati Panigale V4. That means, going forward, we will have to work even harder to get our dream big bike in our garages. 

But it remains to be seen whether the OEMs are going to help the customer by dramatically slashing ex-showroom prices for its <350cc products or not. And similarly, will the asking price shoot up in one swift motion or phase it out over months and absorb the losses for a brief period.