Industry Updates

GST Council May Cut Rate

GST Council May Cut Rate to 18%, Raising Truckers’ Hopes

India’s road transport industry, crucial to logistics and supply chains, is hopeful ahead of the 56th GST Council meeting on September 3–4, 2025. The All India Transporters Welfare Association (AITWA) is pushing for GST on trucks and tyres to be reduced from 28% to 18%, arguing that high taxes burden small fleet owners who form the backbone of Indian freight.

A cut could revive truck purchases, lower logistics costs, and aid India’s $5 trillion economy target. The government is reportedly considering GST rationalization under a broader GST 2.0 framework. AITWA also urges easing compliance like e-way bills. If approved, reforms could boost demand, streamline operations, and strengthen self-reliant economic growth.

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