Mercedes-Benz India September 2025 Sales See Record Boost from GST 2.0 and Festive Demand
Mercedes-Benz India September 2025 Sales Surge Driven by GST 2.0 and Festive Demand. Mercedes-Benz India achieved its best-ever monthly sales ever in September 2025, setting a historic record for the nation’s top luxury car manufacturer. The company logged an impressive 36 percent year-over-year growth, driven by the government’s GST 2.0 reforms and a humongous surge in demand during the Navratri festive period.
Mercedes-Benz India posts its highest-ever monthly and quarterly sales in September 2025, powered by GST 2.0 reforms and Navratri demand.
The surge is evidence of a perfect alignment of policy reforms, market timing, and effective product appeal across Mercedes-Benz’s luxury lineup. September’s performance also led the company to its all-time quarterly record for Q2 FY 25-26, solidifying its leadership in India’s luxury automobile segment.
GST 2.0 Reforms Unleash Pent-Up Demand
The main driver of the Mercedes-Benz India September 2025 sales boom was the implementation of the GST 2.0 reforms on September 22, which coincided with Navratri festival onset. The new GST rates for luxury cars brought relief to prospective buyers who had kept purchases on hold since mid-August in anticipation of tax relief.
This change of policy set alight pent-up demand overnight. Mercedes-Benz India retailed more than 2,500 units in nine days of Navratri — its best-ever festive sales. This surge by itself contributed to almost half of the brand’s quarterly retail, highlighting the potent mix of consumer attitude and timely tax policy.
Record Quarter Strengthens Growth Outlook
Following its September performance, Mercedes-Benz India also recorded a record quarterly performance. It sold 5,119 units in Q2 FY 25-26, its highest-ever second-quarter sales ever. Cumulative volumes from April to September 2025 clocked 9,357 units, a 4 percent year-on-year growth.
These findings illustrate that Indian luxury demand continues to be resilient, especially amid inflationary pressure and increasing input costs. Mercedes-Benz’s pricing strategy, improved financing schemes, and new product lineup supported sustaining the pace through a dynamic marketplace.
Top-End Luxury Segment Drives Growth
The luxury end-to-end segment, comprised of flagship vehicles like the GLS, S-Class, Mercedes-Maybach, and AMG G63, was a key contributor to the Mercedes-Benz India September 2025 sales boom. The segment contributed 25 percent of quarterly overall sales and rose by 12 percent year-on-year.
One of the defining elements of this success is the popularity of the brand’s bespoke Manufaktur program. Almost three out of four top-of-the-line models sold in India during this time were customized through the Manufaktur range, which provides customers with a broad array of personalization choices, including special paint finishes and hand-stitched interiors.
AMG G63, in spite of a waiting period of over six months, recorded its best-ever monthly sales, indicating the sustained interest for luxury SUVs with high performance among Indian customers.
Core Luxury Portfolio Delivers Consistent Strength
Mercedes-Benz’s Core Luxury offerings — the Long Wheelbase E-Class, GLC, and GLE SUVs — remain the bedrock of the firm’s sales in India. The Core segment accounted for about 60 percent of total sales and grew by 10 percent in Q2 FY 25-26.
LWB E-Class is India’s top-selling luxury sedan, with an impressive 47 percent year-over-year growth in Q2. This model’s combination of comfort, prestige, and rear-seat luxury continues to find strong resonance with Indian business executives and chauffeur-driven consumers.
GLC and GLE SUVs also achieved their highest-ever monthly sales in September 2025, reflecting the increasing popularity of premium SUVs in India’s new luxury trend.
Entry Luxury Faces Price-Sensitive Headwinds
Though the brand’s volume and volume-plus segments performed well, the Entry Luxury segment that includes the A-Class Limousine and the GLA SUV struggled. This segment experienced a dip in sales in Q2 FY 25-26 as a result of heightened competition from lower-priced players and intense discounting in the market.
However, Mercedes-Benz continues to stay committed to being a solid force in the Entry Luxury segment, which acts as a pivotal entry point for new consumers joining the brand’s universe.
Increasing Share of Electric Vehicles
The September 2025 performance also reinforced Mercedes-Benz India’s increasing emphasis on electric mobility. Battery Electric Vehicles (BEVs) represented 8 percent of overall sales in Q2 FY 25-26, with the BEV range growing by 10 percent year-on-year.
Mercedes-Benz’s EQS SUV, the company’s top electric model, sold a record amount, and the ultra-luxury G 580 Edition 1 with EQ Technology sold out for 2025. The company already has opened orders for the next round of deliveries, indicating high demand among customers for premium electric vehicles.
Mercedes-Benz’s EV growth is part of its overall commitment to sustainable mobility and follows the company’s global “Electric First” strategy.
Strategic Campaigns Boost Sentiment
To support the GST-driven demand pickup, Mercedes-Benz India ran focused marketing and finance initiatives. The “Dream Days” initiative provided compelling financial offers, while the “Key-to-Key” program facilitated easy upgrades to new vehicles for loyal patrons, especially those waiting for the successor S-Class.
These initiatives not only enhanced retail conversion but also enhanced the company’s customer connect and brand credibility.
Policy, Festivity, and Product: A Perfect Triad
The Mercedes-Benz India September 2025 sales surge exemplifies how policy intervention, festive timing, and a well-balanced product portfolio can combine to deliver record-breaking results. The GST 2.0 reforms provided financial motivation, Navratri created emotional appeal, and Mercedes-Benz’s diverse lineup ensured there was something for every luxury buyer.
From entry-level to ultra-premium bespoke versions, the company was able to address multiple customer segments at once — something that few manufacturers can boast in India’s complex luxury market.
Future Outlook: Riding the Festive Wave
With Dhanteras and Diwali approaching, Mercedes-Benz India anticipates the festive high to spill over into the subsequent quarter. The company’s strong order book in excess of 2,000 units, as reported, will continue to lend support to deliveries in the ensuing festive peak.
The premium carmaker is also placing emphasis on driving its electric vehicle presence, localizing additional models, and driving customer experience through its digitalized sales platform. Mercedes-Benz’s performance in September lays a solid basis for sustaining growth during FY 25-26.
Conclusion
The Mercedes-Benz India September 2025 sales boom represents a milestone in the nation’s luxury car history. It is a testament to the manner in which well-timed policy reforms, accurate timing, and a compelling product portfolio have the ability to reverse market sentiment overnight.
Reaching new festive sales highs, broadening electric vehicle uptake, and robust top-end and core luxury growth, Mercedes-Benz India has rewritten the definition of success in the premium car business.
The next few months will tell if this momentum can be maintained, but for the moment, the brand’s September stellar performance has convincingly placed it at the forefront of India’s luxury transformation.
FAQs
1.How much was Mercedes-Benz India’s sales growth during September 2025?
It increased 36% year-on-year — the company’s all-time best monthly sales.
2. What spurred Mercedes-Benz India’s sales in September 2025?
GST 2.0 tax reductions and Navratri festive sales propelled the uptick.
3. How did GST 2.0 reforms impact sales?
Reduced taxes spurred huge pent-up luxury car demand.
4. How many vehicles did Mercedes-Benz sell during September 2025?
More than 2,500 units were sold during Navratri alone.
5. Which models dominated the sales growth?
GLS, S-Class, Maybach, AMG G63, and E-Class LWB dominated charts.
6. What percentage of sales did EVs account for?
EVs accounted for around 8% of overall sales during Q2 FY 25-26.
7. How were Entry Luxury models doing?
A-Class and GLA experienced marginal declines in sales due to market discounting.
8. How were Mercedes-Benz India’s Q2 FY 25-26 sales?
5,119 units — highest second quarter for the company.
9. What’s Mercedes-Benz India’s next priority?
Growing EV portfolio, localizing models, and improving digital sales.
10. Will festive momentum extend into Diwali 2025?
Yes, supported by robust demand and 2,000+ pending orders.
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