The GST on small cars has reduced to 18 percent, and Maruti Suzuki Alto K10 is availing an enormous price cut of Rs 1.9 lakh(approx). New opening price 22 Sept 2025 Rs 2.99 lakhs. Variation prices and features of the check and its comparison to competitors such as Renault Kwid and Tata Punch.
Maruti Suzuki has announced a huge price reduction on its entry-level hatchback, Alto K10 by decreasing the ex-showroom price by Rs 1,90,600(approx). The car will be on sale starting 22 September 2025 at retail price of Rs 2.99 lakhs, which will be lowered by the government to 18%, instead of 28%, rate known as the Goods and Services Tax (GST) on small cars.
The update will have the Alto K10 reclaimed as one of the cheapest hatchbacks in India once again, just in time before the festive season.
The Alto has been the center of the automotive tale in India since 2000. Alto has been sold over 45 lakh units in India in the past 23 years, becoming the best selling car in the country of all time.
The Alto has been the center of the automotive tale in India since 2000. Alto has been sold over 45 lakh units in India in the past 23 years, becoming the best selling car in the country of all time.
The current Alto K10, introduced in August 2022, is a Suzuki HEARTECT-based car that is more safe and efficient than the previous Alto 800. Driven by the 1.0-litre K10C petrol making 66 bhp, it has 5 or AGS automatic gears, and a CNG version driven by the factory.
Prior to this GST reduction, an increase in the cost of inputs and tougher regulations on emissions had continually made entry-level cars unaffordable to a significant number of customers. Enhanced demand in the low-end car market will be restored with the tax burden being reduced and Maruti Suzuki will enjoy the same.
Latest Developments
Small car are one of the largest price reductions made by Maruti Suzuki:Alto K10: Rs 1,90,600 reduced, new price of the base model Rs 2,99,900.
S-Presso: Rs 1,29,600 reduction.
Celerio: Up to Rs 94,100 reduction.
WagonR: Rs 79,600 reduction.
Ignis & Swift: Between Rs 65,000 and Rs 90,000 cuts (Depending on Variants).
This not only causes the Alto K10 to become competitive not only in relation to competitors such as the Renault Kwid and Hyundai Santro (no longer produced, but available in the used market) but also in relation to rising two-wheeler prices whereby the higher-end scooters now cost even more than Rs 1.5 lakh on-road.
Variant-Wise Price Breakdown
Alto K10 is available in four variants of petrol and one variant of CNG. The estimations of the prices ex-showroom (Delhi) after the GST reduction are the following:- Alto K10 Std (Manual) -- Rs 2.99 lakh
- Alto K10 LXI (Manual) -- Rs 4.05 lakh
- Alto K10 VXI (Manual) -- Rs 4.45 lakh
- Alto K10 VXI+ (Manual/AGS) -- Rs 4.80-5.10 lakh
- Alto K10 VXI CNG -- Rs 4.95 lakh
(Prices are approximate; they can be slightly lower or higher, depending on city and state taxes)
Key Features by Variants
Std: Basic trim, two airbags, ABS/ EBD, front seat belt reminders.LXI: Includes power steering, air-conditioning and central locking.
VXI: 2-DIN audio system, rear parcel tray and optional AMT.
VXI+: 7 inch SmartPlay Studio Android Auto/Apple CarPlay infotainment with steering-mounted controls.
CNG version: Provides mileage of 33.85 km/kg and is therefore one of the most economical cars in India.
Reactions
In its regulatory filing, Maruti Suzuki stated:
“With effect from 22nd September 2025, the Company will pass on the full benefit of the recent reduction in GST rates on automobiles to customers, in line with revised GST regulations.” — Maruti Suzuki India Limited (BSE filing, 18 Sept 2025)
“The Alto brand has historically been India’s first car for millions of families. With this tax cut, affordability is back on the table. Demand for entry-level hatchbacks could see a double-digit recovery during the festive quarter.” — Ramesh Kumar, Senior Analyst, ICRA
The Alto has a historical significance
In 2000, Alto came in to replace Maruti 800 which was the most popular small car in India at that time. By the year 2004, it was ranked as the best selling car in the country and it retained the title in over 16 years.Alto sales have reached 3 lakh units in 2010, something other competitors could not match.
The Alto 800 dominated the rural and semi-urban markets until strict safety standards on crashes saw its discontinuation in 2022.
Introduced in 2010 and revived in 2022, the Alto K10 was carrying the torch with a stronger engine, fuel efficiency, and new features.
The Alto is usually the first automobile of the middle-class Indian family and has therefore found its niche in that of being more than a vehicle, a stepping stone to mobility, and social status.
According to industry experts, this is a turning point of the entry level market.
Dealers, too, are optimistic.
Other Competitors
The Alto K10 competes in the very competitive entry-hatch market in India.Renault Kwid: Starting at Rs 4.69 lakh, the vehicle is styled like an SUV and has a larger boot and more features in the higher models, yet low resale and serviceability than Maruti.
Tata Punch (base model): This technically is a micro-SUV, but its initial cost is Rs 6.25 lakh, which is almost Rs 3.5 lakh higher than Alto K10. Buyers can reach its higher build and elevated ground clearance.
Maruti S- Presso: In-house rival, albeit a bit expensive. The small size of K10 is friendlier in the city.
Two-wheeler segment: Premium scooters are now being sold between Rs 1.5-1.8 lakh on-road, translating to EMI variations between entry-level cars such as Alto K10, which is narrowing down in terms of its pricing, at least to families that prioritise safety.
Under the revised price the Alto K10 will outprice most of its competitors by a large margin and Maruti will still be dominating the entry level market.
Impact
To a sizeable portion of purchasers, Alto K10 is again within the sweet spot of Rs 2.99-5 lakh+ ex-showroom. The affordability of EMI is Rs 1,999 per month, compared to the pre-cut prices, and the ownership becomes possible in the families of lower-middle-income.Industry Demand Boost
The auto sales of small cars were gradually going down. In FY 2024-25, passenger car hatchbacks that were less than 4 metres in size made up less than 30% of passenger vehicles, compared to half a decade ago. Analysts have revised their forecast of this segment to grow between 7-9% in FY 2025-26, which is supported by Alto K10, WagonR and Swift.
Dealer Inventory
Older inventory will be cleared at a fast rate by the showrooms before the festive rush. Maruti can increase production in its Manesar and Gurgaon facilities where Alto K10 are assembled to satisfy the increased demand.
Margin Pressure
As much as customers are gaining, the margins of the automakers would be reduced. These benefits of passing the entire GST to customers imply that Maruti will make less per unit unless the volumes increase considerably.
The new price list of Maruti Suzuki will be effective in the country since 22 September 2025. As the holiday season nears, there are high chances that aggressive financing offers and exchange programs would be launched.
According to experts, buyers should compare prices on the road with RTO charges, insurance, which may increase by Rs 50,000-80,000 depending on state.
In case of a demand recovery, the GST reduction may become the re-birth of the small car market in India, with the Alto K10 at the centre of the scene again - twenty years since it first became the favourite family car in India.
In case of a demand recovery, the GST reduction may become the re-birth of the small car market in India, with the Alto K10 at the centre of the scene again - twenty years since it first became the favourite family car in India.
Competitors vs Alto K10
In order to assist buyers have an informed purchase decision, the following is how the Maruti Alto K10 compares with their closest competitors; the Renault Kwid and Tata Punch (base variant).
Car Model Comparison
| Model & Variant | Engine & Fuel | Key Features | Mileage (ARAI) | Ex-Showroom Price* |
|---|---|---|---|---|
|
Maruti Alto K10
Std / LXI
|
1.0L Petrol
(66 bhp)
|
Dual airbags, ABS, AC (from LXI), power steering |
24.4 km/l (Petrol) 33.85 km/kg (CNG) |
₹2.99-4.05 lakh |
|
Maruti Alto K10
VXI / VXI+
|
1.0L Petrol
(Manual/AGS)
|
7-inch infotainment, steering controls, ESP, 2025 update, 6 airbags | 24.4 km/l | ₹4.45-5.10 lakh |
|
Renault Kwid
RXE / RXL
|
1.0L Petrol
(67 bhp)
|
Inspired design SUV, bigger boot (279L), touchscreen on premium types | 21-22 km/l | ₹4.69-5.40 lakh |
|
Tata Punch
Pure (Base)
|
1.2L Petrol
(86 bhp)
|
SUV position, 5 star Global NCAP, large passenger interior | 20.1 km/l | ₹6.25 lakh |
*Approximate showroom Delhi, Sept 2025.
Affordability: Alto K10 is the lowest priced by far, as it is priced lower than the Kwid by at least Rs 2 lakh and the Punch by almost Rs 3.5 lakh.
Fuel Efficiency: Alto K10 CNG is the most fuel efficient at 33.85 km/kg way ahead of the competition with petrol-only models.
Safety: Tata Punch has the best safety rating of 5 stars, and Alto K10 has enhanced safety in 2025 (six airbags, ESP).
Features: Kwid has additional SUV-inspired design and a little more boot space, whereas SmartPlay infotainment in Alto K10 and the services accessibility of Maruti gives it an advantage to pragmatic customers.
Disclaimer:
Ex-showroom prices vary by location and are subject to change. Additional costs include registration, insurance, accessories, and local taxes.
ARAI figures are tested under standard conditions. Actual mileage may vary based on driving conditions, maintenance, and driving habits.Feature availability may vary by variant and model year. Please verify with authorized dealers. While we strive for accuracy, specifications and prices are subject to manufacturer updates. Always confirm details with official dealers before making purchase decisions.
The current pricing and availability are available only through authorized dealers. Please contact authorized dealers for the most current pricing and availability.
ARAI figures are tested under standard conditions. Actual mileage may vary based on driving conditions, maintenance, and driving habits.Feature availability may vary by variant and model year. Please verify with authorized dealers. While we strive for accuracy, specifications and prices are subject to manufacturer updates. Always confirm details with official dealers before making purchase decisions.
The current pricing and availability are available only through authorized dealers. Please contact authorized dealers for the most current pricing and availability.
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