During the 9-day Navratri festival period in September 2025, Mercedes-Benz India retailed over 2,500 cars, marking the best such performance in its history for Navratri.
- September overall sales surged by 36% year-over-year for the company.
- In Q2 of FY25-26 (July-September), Mercedes-Benz India sold 5,119 units, their strongest quarterly showing.
- Cumulative sales from April to September stood at 9,357 units, a growth of ~4% compared to the same period last year.
What Drove the Surge
- GST 2.0 Reforms: Recent reductions in Goods & Services Tax on luxury vehicles took effect from around September 22. This made Mercedes-Benz models more affordable and sparked pent-up demand.
- Festival Buying Spirit: The Navratri period is a culturally auspicious time for purchases. With favorable taxation and seasonal promotions, buyers accelerated decisions.
- Strong Portfolio Performance: Key models like the Long Wheelbase E-Class, GLC, GLE, GLS, and AMG G63 SUVs saw their highest monthly sales. The core and top-end luxury segments both contributed significantly.
Implications & What to Watch
- Luxury Segment Boost: Even luxury carmakers benefit from macro reforms. This shows that tax policy changes can stimulate demand beyond mass-market brands.
- Price Sensitivity: Luxury vehicle buyers are responsive to price cuts or tax relief, especially when combined with cultural triggers.
- Sustainability: Whether this momentum will continue into the rest of the festive season (e.g. Diwali) depends on currency rates, input cost inflation, and possible further regulatory changes.
- Inventory & Supply: With waiting periods growing for some top models (e.g. AMG G63), production capacity and delivery logistics will be tested. Business Standard
