The India-EU Free Trade Agreement (FTA) is set to shake up the Indian luxury car market. After years of negotiations, the deal has finally been concluded, promising a significant reduction in import duties for completely built-up (CBU) cars imported from Europe.

One SUV that stands to benefit the most is the Land Rover Defender, a favorite among Indian buyers and one of the brand’s best-selling models in the country. While previous trade deals, like the India-UK FTA, lowered prices for the Range Rover, the Defender—produced in Slovakia—did not see any relief. That’s about to change.

Current Pricing of Land Rover Defender 110 in India

• Ex-showroom Price: ₹1.03 crore

• Breakup: Base cost of ₹35 lakh + 110% import duty (~₹3.85 million) + 40% GST (~₹2.9 million)

Impact of Reduced Tariffs
With the India-EU FTA, the import duty will gradually fall from 110% to 40%, and eventually to 10%, making the Defender potentially cheaper than the Toyota Fortuner. However, the benefit will be limited initially:

• Only CBU models will qualify

• Applies to a quota of 2.5 million imported units annually

• Implementation is phased and may take until 2028

What This Means for Buyers
Indian luxury SUV enthusiasts could soon get the Defender at a price more competitive than the Fortuner, making it an enticing option for those looking for prestige, performance, and exclusivity in one package. The FTA is expected to gradually reshape the Indian imported car market, giving luxury buyers better value without compromising on style or capability.