GST Boost Fuels Record Sales and Profits for Maruti, Tata, Mahindra, and Hyundai
The rollout of GST 2.0 on September 22, coinciding with the first day of Navratri, gave India’s automobile sector a massive lift. Reduced car prices led to a buying frenzy, with Maruti Suzuki selling over 30,000 vehicles in a single day. Other auto majors like Hyundai, Tata Motors, and Mahindra & Mahindra also witnessed record demand, triggering a sharp rise in their stock prices.
The impact was visible on the stock market as well. On September 23, Nifty Auto gained 2%, closing at 27,720.80 compared to 27,154.30 on the previous trading day. Shares of Maruti Suzuki, Hyundai Motor, Mahindra & Mahindra, and Tata Motors all surged, boosting investor wealth.
Similarly, BSE Auto delivered returns of more than 5% since the GST announcement on September 4. Data shows the index moved from 57,730.86 on September 3 to 61,946.82 on September 22, marking a gain of 4,215.96 points. On September 23, the rally continued, with the sector adding another 1,290.15 points.
Since September 3, the four leading auto companies have provided remarkable returns to investors:
Company Share Price on Sep 3 Share Price on Sep 23 (High) Return %
| Maruti Suzuki | 14,921 | 16,321 | 9.38% |
| Hyundai Motor | 2,514.70 | 2,846.90 | 13.21% |
| Mahindra & Mahindra | 3,284.55 | 3,680 | 12.03% |
| Tata Motors | 692.15 | 707.80 | 2.26% |
Hyundai led the rally with over 13% growth, followed by Mahindra at 12.03% and Maruti at 9.38%.
Festive Sales Break RecordsThe festive spirit, coupled with reduced GST rates, drove massive sales across brands:
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Maruti Suzuki delivered 30,000 vehicles in one day.
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Hyundai Motor clocked nearly 11,000 dealer billings, the highest in five years.
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Tata Motors sold around 10,000 vehicles on the opening day.
With Navratri marking a strong start, auto manufacturers are expected to see robust demand throughout the festive season, turning GST 2.0 into a major game-changer for the industry.