Mercedes-Benz Prices After India–EU FTA: Model-Wise Expected Cost Drop

Mercedes-Benz Prices After India–EU FTA: Model-Wise Expected Cost Drop

January 30, 2026

The India–European Union Free Trade Agreement (FTA) is set to transform the luxury car market in India. Import duties on European cars, which currently go as high as 110%, may gradually reduce to 10–20%, potentially slashing prices of premium brands like Mercedes-Benz.

While many Mercedes models are locally assembled, a large number of high-end, AMG, electric and flagship models are fully imported, meaning they stand to gain the most from the FTA. Below is a detailed model-wise breakdown of Mercedes-Benz cars and how their prices could change.


Mercedes-Benz A-Class Price After India–EU FTA

The Mercedes-Benz A-Class Limousine is currently priced at ₹44.46 lakh → ₹33–36 lakh (estimated post-FTA). It is the entry point into the Mercedes world and is extremely popular among young professionals and first-time luxury buyers.

Although the A-Class is locally assembled, it still relies on imported engines, electronics, and safety systems. With duty reductions on European auto components, Mercedes could reduce production costs and pass on partial benefits.

If the price falls closer to ₹33 lakh, the A-Class could become the most affordable luxury sedan in India, pulling customers away from mid-range premium sedans.


Mercedes-Benz C-Class Price After India–EU FTA

The C-Class currently sells at ₹58.65–64.32 lakh → ₹40–48 lakh after estimated FTA impact. It remains one of the most trusted luxury sedans in India.

With advanced infotainment, digital cockpit, and premium engines sourced from Europe, the C-Class still attracts high import duties on key parts. Lower tariffs may directly reduce its overall cost.

At a revised lower price, the C-Class would gain a massive advantage over BMW 3 Series and Audi A4.


Mercedes-Benz E-Class Price After India–EU FTA

The Mercedes E-Class is priced at ₹78.51–91.66 lakh → ₹55–70 lakh. It is widely chosen by corporate leaders, hotels, and premium fleet operators.

The FTA could reduce the cost of imported technology modules, powertrain components, and safety electronics used in the E-Class.

This could strengthen Mercedes’ dominance in the executive sedan segment and make luxury ownership more accessible.


Mercedes-Benz S-Class Price After India–EU FTA

The flagship S-Class costs ₹1.78–1.80 crore → ₹1.15–1.30 crore after FTA projections. It is the ultimate symbol of luxury, innovation, and prestige.

Since it is largely imported, the S-Class is heavily taxed. Duty reduction could significantly lower its price.

This may allow more ultra-luxury buyers to enter the Mercedes ecosystem.

Mercedes-Benz GLA Price After India–EU FTA

The Mercedes-Benz GLA compact luxury SUV is currently priced at ₹49.72–52.73 lakh → ₹35–40 lakh (estimated post-FTA). It is one of the most popular entry-level luxury SUVs in India, especially among young urban professionals and first-time luxury buyers.

With the India–EU FTA reducing import duties on European auto parts, Mercedes-Benz could significantly lower its component costs. Even though the GLA is locally assembled, it still uses engines, electronics, and safety modules imported from Europe, which are currently taxed heavily.

If the GLA’s price drops closer to ₹35 lakh, it could become India’s most affordable German luxury SUV, directly challenging premium mass-market SUVs and reshaping the entry-level luxury SUV segment.


Mercedes-Benz GLB Price After India–EU FTA

The Mercedes-Benz GLB is currently priced at ₹64–72 lakh → ₹45–50 lakh (estimated post-FTA). It is positioned as a more practical and spacious alternative to the GLA, offering more legroom, boot space, and a stronger road presence.

The GLB also depends on imported powertrain components and electronic systems, which makes it sensitive to customs duties. With tariff reductions under the FTA, Mercedes-Benz could revise its pricing strategy for this family-focused SUV.

A post-FTA price near ₹45 lakh could make the GLB a strong value proposition for premium family buyers, increasing its demand in metro and Tier-1 cities.


Mercedes-Benz GLC Price After India–EU FTA

The Mercedes-Benz GLC, one of the brand’s best-selling SUVs globally, is currently priced at ₹73.97 lakh → ₹52–60 lakh (estimated post-FTA) in India.

Although the GLC is locally assembled, many of its advanced safety systems, infotainment units, and powertrain parts are imported from Europe. These components attract heavy duties, inflating the final price.

If Mercedes passes on FTA benefits, the GLC could see a significant correction, strengthening its dominance over rivals like the BMW X3 and Audi Q5 in the luxury SUV space.


Mercedes-Benz GLE Price After India–EU FTA

The Mercedes-Benz GLE is currently priced between ₹96.14 lakh–₹1.12 crore → ₹68–85 lakh (estimated post-FTA). It sits in the premium full-size luxury SUV category and is known for comfort, power, and advanced features.

With lower import tariffs on high-end parts and engines, Mercedes could offer the GLE at a much more attractive price. This would help the brand capture buyers who previously viewed the GLE as out of reach.

A lower GLE price would expand Mercedes-Benz’s presence in the luxury SUV segment and attract both business owners and premium family buyers.


Mercedes-Benz GLS Price After India–EU FTA

The flagship Mercedes-Benz GLS is priced at ₹1.32–1.34 crore → ₹90 lakh–₹1.05 crore (estimated post-FTA). It is often called the “S-Class of SUVs” for its comfort, size, and luxury appeal.

The GLS relies on several imported luxury components and advanced electronics. With the FTA lowering import duties, Mercedes could reduce the price significantly.

At around ₹95 lakh, the GLS would become far more attractive to buyers looking for a premium 7-seater luxury SUV, boosting demand across India.


Mercedes-Benz G-Class Price After India–EU FTA

The iconic Mercedes-Benz G-Class (G-Wagon) is currently priced at ₹2.55–4.30 crore → ₹1.60–2.50 crore (estimated post-FTA). It is fully imported and carries one of the highest tax burdens in India.

Since it is a completely built unit (CBU), the G-Class will be one of the biggest beneficiaries of the India–EU FTA. A major duty cut could reduce its price by over ₹1 crore.

This dramatic drop could make the G-Wagon far more accessible to ultra-luxury SUV buyers, driving demand for both standard and AMG variants.


Mercedes-Benz EQ Series Price After India–EU FTA

Mercedes-Benz’s electric lineup in India includes the EQS (₹1.30–1.63 crore → ₹90 lakh–₹1.15 crore), EQE SUV (₹1.41 crore → ₹1.00–1.15 crore), and EQB (₹72.20–78.90 lakh → ₹52–60 lakh).

These premium EVs currently face high import duties and limited localisation. With tariff reductions under the FTA, Mercedes could make its electric cars far more price-competitive.

Lower prices would encourage high-end EV adoption in India and strengthen Mercedes-Benz’s leadership in the luxury electric vehicle segment.


Mercedes-AMG GT & SL Roadster Price After India–EU FTA

The Mercedes-AMG GT is currently priced at ₹3.27 crore → ₹1.90–2.30 crore, while the SL Roadster costs ₹2.34 crore → ₹1.60–1.80 crore after FTA estimates.

Both models are fully imported performance cars and carry massive import duties. The FTA could cut these taxes sharply, making them the biggest winners in Mercedes’ portfolio.

A lower price would bring AMG performance cars closer to aspirational buyers and dramatically boost demand in India’s ultra-luxury sports car market.

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