Skoda's Ashish Gupta Sees Smaller SUVs Powering Growth

Ashish Gupta, Brand Director of Skoda Auto India said, Smaller SUVs are set to lead growth in India’s passenger vehicle market after the recent GST rate cut. He said affordability, practicality, and strong demand in the sub-4-metre category make it the most promising part of the market.

Gupta said that even before the tax change, compact SUVs made up around 26–28 percent of overall passenger-vehicle sales, showing their strong position in the segment.

“With the GST rate cuts, the biggest advantage is in the sub-4-metre segment,” he said, adding that the move could push more automakers to expand their line-ups.

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Industry executives said the lower GST rate will make compact SUVs more accessible to a wider range of buyers, especially those seeking affordable models with more space and features. The reduced tax burden could also help carmakers price their vehicles more competitively, driving higher sales and tougher competition.

For companies like Skoda Auto India, the cut opens a chance to grow in a fast-moving category. More model launches and localized production are expected as brands work to control costs and protect margins.

With rising demand in both urban and semi-urban areas, the smaller SUV segment is likely to shape India’s next phase of auto industry growth and set the tone for market trends in the post-GST-cut period.