GST rate review could reset demand math for hotels, autos, cement and FMCG

Experts flag proposed shift to a two-slab GST structure as a potential tailwind: cement and small cars/two-wheelers could move from 28% (plus cess for autos) to 18%, with hotels and FMCG also in focus. Demand lift hinges on whether companies pass the cut through to consumers. Awaiting GST Council decision.

— FiledThu, 14 May, 2026, 22:00 IST·First seen Thu, 14 May, 2026, 21:43 IST·Source CNBC-TV18 · Retail

What happened

retail-company · Experts say proposed GST rate rationalisation to a two-slab structure could benefit hotels, cement (28% to 18%), autos (small cars/two-wheelers

Key facts

  • 28%
  • 18%
  • 28% plus cess

Why this matters

Refresh deal models and synergy cases in cement, auto ancillaries, branded hotels, and FMCG targets for a lower-GST regime, since a two-slab structure could reset acquisition multiples and post-close demand trajectories.