Autocar Professional’s October 1, 2025 Edition is out!
The new edition examines India's luxury car paradox, exploring why affluent buyers remain hesitant despite growing wealth.
Autocar Professional examines India's luxury car paradox in its latest edition. Despite high-net-worth households nearly doubling in recent years, luxury vehicles comprise merely 1.2% of the passenger vehicle market. While the recent GST cut has reduced prices by lakhs and is expected to boost festive-season sales, the publication argues that tax adjustments alone cannot resolve deeper structural challenges.
High import duties, steep ownership costs, cultural caution, weak infrastructure, and a value-conscious mindset continue to limit adoption—even among buyers willing to spend on big-ticket lifestyle purchases.

Industry leaders such as Mercedes-Benz India’s Santosh Iyer and BMW Group India’s Vikram Pawah acknowledge taxation as a barrier, but they also point to deeper behavioural and ecosystem challenges. Growth is emerging through entry-level luxury, pre-owned markets, and faster EV uptake, especially among younger buyers. Still, meaningful expansion will need consistent policy, mindset shifts, and a broader definition of value.
Beyond luxury, the edition reflects the diversity of the auto sector—from the continued importance of two-wheelers in mass mobility to the transformation of the construction equipment industry. A special roundtable on CE spotlights how technology, financing, and sustainability are redrawing the roadmap for the sector.
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By Autocar Professional Bureau
03 Oct 2025
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