Eicher Motors Makes Riding Affordable: Full GST Benefit Passed On

Eicher Motors has passed on the full GST benefit to its customers. From 22nd September 2025, Royal Enfield has reduced prices by up to ₹22,000 on the popular 350cc range (Classic, Bullet, Meteor, Hunter). This move is aimed at making bikes more affordable for first-time buyers and increasing overall accessibility. Financials: The stock of Eicher Motors has jumped nearly 22% in the last month. Big brokerages like Bank of America and Morgan Stanley have raised their target prices, highlighting stronger rural demand, wider financing options, and growth in the sub-350cc segment. International sales are also strong, with exports rising more than 35% YoY. Future Outlook: Lower prices should attract new riders and boost volumes. Expanding presence in smaller towns and global markets is a big growth driver. The premium positioning of Royal Enfield still gives it an edge in the mid-size segment. Risks to Watch: Higher GST (40%) on bigger bikes above 350cc may affect demand in the premium segment. Rising raw material costs could pressure margins. Competition and regulatory changes (like EV push) are factors to monitor.