The Audi A4 remains one of India’s most popular premium sedans, blending German engineering with a refined driving experience. As trade dynamics shift with the newly concluded India–EU Free Trade Agreement (FTA), potential impacts on the A4’s price and competitiveness have attracted significant consumer interest. Here’s an updated, detailed look at the Audi A4’s pricing, on‑road cost, mileage, features, and how the India–EU FTA might affect future cost structures.
📊 Latest Price of Audi A4 in India After India–EU FTA (2026)
- Price Drop Estimates: Following the FTA, the Audi A4’s current price of ₹54–58 lakh is estimated to potentially drop to ₹38–45 lakh. Some speculative estimates suggest base models could even land as low as ₹25–35 lakh, excluding taxes and dealer margins.
- Import Duty Reductions: The FTA aims to slash import duties on European cars from 110% down to 40% initially, with a phased reduction to 10% over 5–10 years.
- CBU vs. CKD Constraint: These duty cuts apply exclusively to Completely Built Units (CBU) imported directly from Europe. Since core Audi models are often locally assembled (CKD), which already benefit from lower tariffs (around 15-30%), they may not see an immediate, massive price drop.
Current Audi A4 Pricing (Feb 2026)
Until the new FTA-linked pricing structures are officially implemented by Audi India, the current ex-showroom prices remain:
- Premium (Base): ₹46.25 – 46.41 Lakh
- Premium Plus: ₹51.17 – 51.33 Lakh
- Technology (Top): ₹55.11 – 55.27 Lakh
- Signature Edition: ₹57.11 Lakh
On‑road figures vary based on registration city (e.g., Delhi, Mumbai, Bengaluru), insurance package, and dealer offers.
Audi A4 Mileage & Performance
The Audi A4 balances performance with decent fuel efficiency for its class:
- Engine: 1984 cc Turbocharged Petrol, 7‑speed automatic DCT
- Power & Torque: ~201 bhp & 320 Nm peak torque
- Mileage: ARAI‑claimed ~17.8 km/l (petrol).
- Real‑World Driving: Many owners report 10–12 km/l in city and up to 14–17 km/l on highways under Indian conditions.
This makes the A4 not only a luxury sedan but a reasonably efficient one for long drives and daily use within the premium segment.
Audi A4 Key Features
The Audi A4 comes well‑equipped with features typically expected in a premium luxury sedan — both for comfort and safety:
Interior & Comfort
- Spacious 5‑seater cabin with premium upholstery
- Panoramic sunroof (varies by trim)
- Dual‑zone automatic climate control
- Wireless Android Auto & Apple CarPlay
- Air purifier and ambient lighting
Infotainment & Tech
- Large touchscreen infotainment system
- Virtual cockpit digital instrument cluster
- Navigation with voice control
- Bluetooth, USB, and multiple connectivity options
Safety
- 8 airbags
- ABS with EBD and traction control
- Parking sensors and rear camera
- ESP, hill assist, tyre pressure monitoring system
Driving & Handling
- Adaptive suspension and smooth automatic gearbox
- Turbo‑charged torque delivery for relaxed highway cruising
- Precise handling typical of German‑built sedans
Overall, the A4’s feature list positions it competitively within its segment against rivals like the BMW 3 Series and Mercedes‑Benz C‑Class.
Impact of the India–EU Free Trade Agreement (FTA)
One of the biggest developments in early 2026 is the conclusion of the India–EU FTA, widely described as the “mother of all trade deals,” which will reshape tariff structures on European imports — including automobiles.
What the FTA Changes
- Import tariffs on European cars above certain price brackets will be substantially reduced — from current peaks of ~110% down to ~30–35% initially, with a phased reduction to ~10% over several years, and annual quotas on imported units.
- The FTA covers more than 90% of trade between India and the EU, promising duty elimination or substantial reduction for most goods — automobiles included.
Why A4 Prices May Not Drop Immediately
Despite tariff cuts, luxury car prices in India may not fall drastically overnight post‑FTA, for several reasons:
- Local Assembly Dominates: Over 90% of luxury cars sold in India (including A4) are assembled locally from CKD kits — so changes in import duties may not affect locally built units as dramatically as fully imported cars.
- Other Cost Components: Local taxes, registration fees, dealer margins, and logistics still play large roles in final pricing, which the FTA does not directly address.
- Phased Implementation: Duty cuts will unfold gradually (expected from 2027–28 onward), and initial phases only apply within quotas, meaning imported units beyond that quota could still attract existing high duties.
Industry experts suggest that significant retail price reductions are unlikely in the immediate term, even after the FTA comes into force, and any benefits may depend on how manufacturers restructure imports, production, and pricing strategies.
Audi A4 Summary: What Buyers Should Know Now
| Aspect | Details |
|---|---|
| Ex‑Showroom Price | ₹46 – 57 Lakh (variants) |
| On‑Road Price | ₹54 – ₹62+ Lakh (major cities) |
| Mileage (claimed) | ~17.8 km/l |
| Real World Mileage | 10–15 km/l city, 14–17 km/l highway |
| Features | Panoramic sunroof, virtual cockpit, safety tech, infotainment |
| FTA Impact | Potential long‑term cost benefits, but no significant short‑term price drop expected |
Conclusion
The Audi A4 continues to be a strong contender in the luxury sedan segment in India, offering a compelling mix of performance, technology, comfort, and refinement. While the India–EU FTA lays the groundwork for future tariff relief on European luxury cars, immediate pricing benefits for locally assembled models like the A4 are limited. Any long‑term reductions in cost will depend on phased tariff cuts, how automakers adjust strategies, and broader market conditions.
If you’re considering buying an Audi A4 today, you’re paying current market prices — but the FTA’s long‑term promise could make luxury cars more competitive and accessible over the next several years.
