6 Upcoming Cars in India Under 5 Lakhs in 2025

The upcoming months are going to be very exciting as most of the popular car brands are launching new models. So, if you have been considering purchasing a new car, this is the time. Keep track of the upcoming cars under 5 lakhs in India to plan your investment seamlessly.

Also, it is crucial to know that having car insurance is mandatory if you plan to buy a car in India, as per the Motor Vehicles Act of 1988. It offers financial protection against accidents, theft, traffic fines, and damage, thus safeguarding your investment.

Most of these brands announce pre-booking at least a year prior to their launch in the market. Therefore, with a bit of market research and careful planning, you can get your dream car within your budget.

1. Renault Kwid EV | Expected Launch Date: January 2025

The new Kwid, dubbed the Spring EV, has been presented under the Dacia brand. It has a 10-inch touchscreen with wireless smartphone connectivity, a 7-inch digital driver's display, manual air conditioning, all four power windows, and linked car technology. 

The Renault Kwid EV will be competed with by the Maruti S-Presso, Maruti Alto K10, Maruti Eeco, Maruti Baleno, and Maruti Celerio.

Key Specifications:

• Expected Starting Price: ₹ 5 Lakhs
• Battery: 26.8 kWh
• Transmission: Manual/Automatic  
• Fuel type: Electric  
• Body type: Hatchback
• Maximum Power: Not yet disclosed
• Maximum Torque: Not yet disclosed
• Range: 220 km
• Seating Capacity: 5
• Airbags: Not yet disclosed
• Safety Features: Not yet disclosed

2. Maruti XL5 | Expected Launch Date: September 2025

The eagerly awaited Maruti XL5 is about to transform the hatchback market in India. There is great excitement about Maruti Suzuki's affordable offering, which is expected to be outstanding. The XL5 is expected to offer the ideal balance of performance, style, and affordability.

Key Specifications:

•  Engine Capacity: 999cc
• Expected Starting Price: Starting ₹ 4.5 lakh
• Mileage: Not yet announced 
• Transmission: Manual/Automatic  
• Fuel type: Petrol/CNG  
• Body type: Hatchback  
• Airbags: Not yet announced 
• Safety features: Not yet announced
• Seating Capacity: 5

3. Maruti Cervo | Expected Launch Month: Not Yet Disclosed

Another sturdy hatchback car from Maruti's house is the new Cervo. It is priced quite reasonably, considering its features and chic designs. If you have sorted the upcoming cars in India for under 5 lakhs, Cervo will be a severe competition for many brands.

It has included convenient features like power windows, remote fuel filler, and remote boot release. Assuring a smoother and more comfortable drive.

Key Specifications:

• Expected Starting Price: ₹ 3.00 Lakhs
• Engine Displacement: 658 cc
• ARAI Mileage: 21 kmpl
• Transmission: Not yet disclosed 
• Fuel type: Petrol/CNG  
• Body type: Hatchback
• Maximum Power: 54 BHP 
• Maximum Torque: 64 Nm 
• Kerb Weight: 790 kg
• Seating Capacity: 5
• Safety Features: Not yet disclosed
• Airbags: Not yet disclosed

4. Tata Kite 5 | Expected LaunchDate: Not Yet Disclosed

This vehicle is intended to appeal to people searching for a little sedan. It is said to be among the most affordable sedans in the country. It has an infotainment system with Harman power, an eight-speaker sound system, and body-coloured AC pallets. 

These attributes, comparable to Tiago, provide the car's passengers with a great degree of comfort. The vehicle will be propelled by the same drivetrains found in the hatchback Tiago.

Key Specifications:

• Expected Starting Price: ₹ 4.50 Lakhs
• Engine Displacement: 1198cc
• ARAI Mileage: 17.1 kmpl
• Transmission: Manual/Automatic 
• Fuel type: Petrol/CNG  
• Body type: Compact SUV
• Maximum Power: 84 BHP
• Maximum Torque: 114 Nm
• Kerb Weight: Not yet disclosed
• Seating Capacity: 5
• Airbags: 2
• Safety Features: ABS with EBD, etc. 

5. Volkswagen Up | Expected Launch Date: Not Yet Disclosed

Source: volkswagen-newsroom.com

Even though limited information has been leaked on the upcoming Volkswagen vehicle, we can still understand what to expect.

However, knowing the manufacturer, this budget model will deliver excellent mileage and power specifications when launched in the Indian market. Its USP will likely remain the affordable price tag.

Key Specifications:

• Engine Capacity: Unknown
• Expected Ex-showroom Price: Starting ₹  4 lakh
• Mileage: Not yet Announced 
• Transmission: Manual/Automatic  
• Fuel type: Petrol  
• Body type: Hatchback  
• Airbags: Not yet announced 
• Safety features: Not yet announced
• Seating Capacity: 5

6. Datsun Cross | Expected Launch Date: Not Yet Disclosed

Source: global.nissannews.com

The Datsun Cross, the production-spec counterpart of the GO Cross concept, has been unveiled in Jakarta, Indonesia. The Cross is based on the GO+ micro MPV, but it has a new front end and many crossover features like greater ground clearance, stronger bumpers, and all-around body cladding. In addition, Datsun updated the dashboard, and the vehicle offers many more amenities than the GO/GO+.

Key Specifications:

• Expected Starting Price: ₹ 4.40 Lakhs
• Engine Displacement: 1198cc
• ARAI Mileage: 20 kmpl
• Transmission: Not yet disclosed 
• Fuel type: Petrol/CNG  
• Body type: Hatchback
• Maximum Power: 67.1 Bhp
• Maximum Torque: 104 Nm
• Kerb Weight: 855 to 880kg / 955 to 985kg
• Seating Capacity: 5
• Airbags: Not yet disclosed
• Safety features: Not yet disclosed

Even though it's unknown when each upcoming car under 5 lakhs will go on sale, you should stay informed of any updates. This will assist you in organizing your next big investment. 

Also, obtaining at least third-party car insurance coverage is advisable to ensure financial security in case of any unforeseen catastrophe.