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      VECV Extends Full GST Reduction Benefit to Customers

      Ritesh KumarBy Ritesh KumarSeptember 12, 2025 E-Mobility 2 Mins Read
      VECV Extends Full GST Reduction Benefit to Customers
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      VE Commercial Vehicles (VECV) has announced that it will extend the complete benefit of the revised GST rates on its trucks and buses to customers, starting September 22, 2025. The move comes as a festive offering coinciding with the beginning of Navratri and aims to reduce acquisition costs for Eicher’s range of modern, fuel-efficient vehicles.

      The Goods and Services Tax (GST) on diesel, CNG, and LNG commercial vehicles has been reduced from 28% to 18%, while electric trucks and buses will continue to benefit from the lower 5% GST rate.

      Vinod Aggarwal, MD & CEO of VECV, welcomed the decision, calling it a timely reform aligned with the Prime Minister’s Gati Shakti programme. “We sincerely thank the Hon’ble Prime Minister, Hon’ble Finance Minister and the GST Council for this landmark decision. It provides relief after slowing sales and rising input costs, while also boosting logistics efficiency, consumer sentiment, and economic growth,” he said.

      The GST cut is expected to ease cost pressures for freight operators and stimulate demand in logistics, while also encouraging bus fleet modernisation by state transport corporations and private operators. Customers stand to gain between ₹1 lakh and ₹6 lakh, depending on the vehicle category:

      • LMD Trucks: ₹1.0–2.0 lakh reduction

      • HD Trucks: ₹1.5–6.0 lakh reduction

      • Buses: ₹1.1–3.4 lakh reduction

      By fully passing on the tax benefit, VECV aims to help fleet operators, small businesses, and individual drivers lower their Total Cost of Ownership (TCO), enhance profitability, and adopt safer, fuel-efficient, and future-ready vehicles.

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      commercial vehicles Eicher Buses Eicher Trucks Fleet Modernisation GST Reduction Indian auto industry Logistics Efficiency PM Gati Shakti VECV Vinod Aggarwal
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