GST impact has been quite positive for cars and two wheelers as most companies have reduced prices. Royal Enfield announced new prices for the entire range.
As per new GST structure, motorcycles having engine displacement of 350cc or less, will be charged lesser tax and taxed at 28% GST, while those motorcycles with higher than 350cc engine will be taxed at 28% plus an additional 3% cess.
The bikes below 350cc are cheaper by Rs. 1600-2100 depending on the model while bike above 350cc have become expensive as these attract additional 3% cess.
The impact on the low selling Royal Enfield Continental GT is very marginal while the Royal Enfield Himalayan which comes with a 411cc engine gets a price hike of Rs. 2717.
There price hike wont effect the sales as the difference is marginal.
Current price list Royal Enfield motorcycles for Chennai market.
| Chennai | |||
| Model | Pre GST price | Post GST Price | Difference In Price |
| Bullet 350 | 127,925 | 126,264 | -1,661 |
| Bullet Electra | 143,881 | 141,670 | -2,211 |
| Classic 350 | 152,897 | 150,882 | -2,015 |
| Thunderbird 350 | 164,596 | 162,431 | -2,165 |
| Classic 500 | 194066 | 195556 | 1490 |
| Classic Desert Strom | 197173 | 198808 | 1635 |
| Classic Chrome | 205902 | 207379 | 1477 |
| Thunderbird 500 | 207719 | 209078 | 1359 |
| Bullet 500 | 183513 | 184682 | 1169 |
| Continental GT | 231336 | 231637 | 301 |
| Himalayan | 181437 | 184154 | 2717 |
Depending on the state prices will either increase or decrease.