India's Top 10 Affordable Compact SUVs After GST Reduction (2025)

The Indian automotive market, particularly the compact SUV segment, has always been defined by value and fierce competition. However, a recent and significant change in the tax landscape—the new GST reform introduced in September 2025—has made this popular category of cars even more appealing. By simplifying a complex tax structure, the government has reduced the tax burden on "sub-4-meter" vehicles, which includes most compact SUVs, to a flat 18%. This is a notable decrease from the previous total tax of around 29% to 31%.



For you, the buyer, this means that many of India's most popular and feature-rich SUVs are now more affordable. But with so many excellent options available, choosing the right one can be a challenge. To help you navigate this new, value-driven market, we've compiled a comprehensive, up-to-date list of the top 10 most affordable sub-4-meter SUVs. Our ranking is based on a combination of starting price, features, safety, and market popularity, giving you a clear picture of which models offer the best value for your money.

Top 10 Affordable Compact SUVs - 2025(Post-GST Reduction)

The following list is based on the most current available data, with prices reflecting the new tax structure. All prices are ex-showroom (average) and may vary by city and specific variant.

Rank	Model	Starting Price (Ex-showroom, Avg)
1	Tata Punch	Rs. 5.50 Lakh
2	Hyundai Exter	Rs. 5.68 Lakh
3	Renault Kiger	Rs. 6.30 Lakh
4	Maruti Suzuki Fronx	Rs. 6.85 Lakh
5	Hyundai Venue	Rs. 7.26 Lakh
6	Kia Sonet	Rs. 7.30 Lakh
7	Tata Nexon	Rs. 7.32 Lakh
8	Mahindra XUV 3XO	Rs. 7.29 Lakh
9	Skoda Kylaq	Rs. 7.55 Lakh
10	Maruti Suzuki Brezza	Rs. 8.26 Lakh

1. Tata Punch

Tata Punch remains a bestseller thanks to its affordable price and city-friendly performance. The GST reduction helped drop the starting cost from about Rs. 6.10 lakh to Rs. 5.50 lakh, making it accessible to more buyers. With strong monthly sales and a high safety rating, it’s an ideal pick for new SUV owners.

See full spec of Tata Punch

2. Hyundai Exter

Hyundai Exter combines affordability and advanced connectivity. GST reforms dropped the price from Rs. 6 lakh to Rs. 5.68 lakh. Popular for city commutes and smart tech, it delivers strong mileage and comfort.

See full spec of Hyundai Exter

3. Renault Kiger

Renault Kiger is admired for its youthful styling and smart features. The starting price is now Rs. 6.30 lakh, reduced from Rs. 6.85 lakh before GST changes. It offers good value for those seeking a practical, compact urban SUV.

See full spec of Renault Kiger

Also Read

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4. Maruti Suzuki Fronx

Fronx is popular among families for its reliability and fuel efficiency. The starting price has fallen from Rs. 7.40 lakh to Rs. 6.85 lakh thanks to GST cuts, while strong August 2025 sales show its increasing demand. Buyers benefit from Maruti’s vast service network.

See full spec of Maruti Suzuki Fronx

5. Hyundai Venue

Venue gets a boost from GST cuts, with prices now starting at Rs. 7.26 lakh, down from Rs. 7.94 lakh. It is known for its modern features, strong resale value, and consistent sales among young buyers.

See full spec of Hyundai Venue

6. Mahindra XUV 3XO

Mahindra’s XUV 3XO stands out for its tough build and well-equipped cabin. GST changes have lowered the base price from Rs. 8.14 lakh to Rs. 7.29 lakh, making it attractive for those wanting rugged SUV vibes at a lower cost.

See full spec of Mahindra XUV 3XO

7. Kia Sonet

Kia Sonet draws attention for its premium looks and loaded equipment. The price fell from Rs. 7.99 lakh to Rs. 7.30 lakh after GST revision. Monthly sales are high, thanks to its powerful engine options and segment-leading features.

See full spec of Kia Sonet

8. Tata Nexon

Tata Nexon is a leader in safety and versatility, with one of the highest monthly sales. With GST reduction, the price dropped from Rs. 7.82 lakh to Rs. 7.32 lakh. The Nexon offers multiple fuel options and is a favorite for Indian roads.

See full spec of Tata Nexon

9. Skoda Kylaq

Skoda Kylaq, a newer entry, brings European engineering and classy design to the segment. Its starting price of Rs. 7.55 lakh reflects savings of about Rs. 60,000 post-GST. August sales show a steady rise, helped by its compact size and value features.

See full spec of Skoda Kylaq

10. Maruti Suzuki Brezza

Brezza is a proven performer in the compact SUV class. After GST, its starting price is Rs. 8.26 lakh, about Rs. 70,000 less than previous rates. It’s among the top sellers for buyers prioritizing low running costs and reliability.

See full spec of Maruti Suzuki Brezza

Why Buy Now?

With the 2025 GST reform, compact SUVs have become easier to own, offering more features per rupee and a wider range of choices for Indian buyers. Whether the priority is fuel efficiency, safety, modern tech, or brand trust, there’s a value-packed option for every budget this year.