The move follows reforms introduced by the GST Council and will result in price reductions of up to Rs 22,000 on Royal Enfield's 350cc motorcycle range. For motorcycles above 350cc, pricing will be adjusted according to the new GST rates. The revised pricing will be available to customers starting September 22, 2025.
"The Government of India's latest GST reform will not only make motorcycles under 350cc more accessible but will also excite the first-time buyers," said B Govindarajan, Managing Director of Eicher Motors Ltd and Chief Executive Officer of Royal Enfield.
The company positions the 350cc segment as the backbone of the mid-size motorcycle market in India. Royal Enfield's 350cc lineup includes models such as the Hunter 350, Meteor 350, Bullet 350, Classic 350, and Goan Classic 350.
Royal Enfield, established in 1901, describes itself as the oldest motorcycle brand in continuous production. The company established manufacturing operations in Madras (now Chennai) in 1955 and has since built a significant presence in India's mid-size two-wheeler segment.
The manufacturer's current portfolio spans multiple segments, including the Bear 650, Classic 650, Guerrilla 450, Super Meteor 650, Interceptor 650, Continental GT 650, Shotgun 650, Himalayan 450, and Scram 440. The company recently unveiled a new urban mobility brand called Flying Flea.
Royal Enfield operates through more than 2,000 stores across India and approximately 850 stores in over 60 countries globally. The company maintains technical centers in Bruntingthorpe, UK, and Chennai, India, with production facilities located at Oragadam and Vallam Vadagal near Chennai.
As a division of Eicher Motors Limited, Royal Enfield also operates six assembly facilities across Bangladesh, Nepal, Brazil, Thailand, Argentina, and Colombia for completely knocked down (CKD) units.
The price reduction is expected to make Royal Enfield motorcycles more accessible to first-time buyers and expand the company's customer base in the domestic market. The 350cc segment has been a key volume driver for the brand in India's motorcycle market.
Royal Enfield organizes various community events including Motoverse (formerly Rider Mania), an annual gathering in Goa, and Himalayan Odyssey, described as a yearly expedition across challenging terrain and high mountain passes.
The GST rate reduction represents part of the Indian government's broader tax reforms affecting the automotive sector. The announcement comes as motorcycle manufacturers continue to navigate changing regulatory and tax environments in one of the world's largest two-wheeler markets.