The upcoming year promises to be one interesting year in the Indian car market regarding budget cars. Rising fuel prices are also a concern when it comes to daily use in the city. Cars these days are all about mileage, compactness, and low maintenance. Most of these under-10-lakh targeted buyers will be a first-time buyer or a small family.

Expected Maruti Suzuki Cervo

Maruti is planning to launch a small hatchback below Alto. Key factors would be lightweight platform, small petrol engine, and maximum mileage. This vehicle, made easy to drive in the city, was expected to bring down running costs to ensure runaway success. Expect smart pricing possibly under 5-6.5 lakh.

Tata tiago facelift 2026

Tiago facelift is likely going to have an interior more premium, an upgraded infotainment and a better tuning towards saving fuel economy. Tata is all about safety and hence it will remain that this is one of his forte; and therein will be a petrol and CNG. Expected price: 5.5-8 lakh.

Hyundai Grand i10 New Gen

The refinement in the engine and improvements in the ride quality will most probably be offered in the newly updated generation of Grand i10. Interior comforts and features are expected to be hallmarks for Hyundai. It will have improved mileage which will make it a good choice as far as urban families are concerned. Expected price: 6-9 lakh.

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Expected Renault Kwid Hybrid

Renault might offer hybrid technology with a lower price tag, which would also be greatly beneficial in city driving. Young crowds would adore that compact size and new-age design. Expected price: 6-8 lakh.

Maruti WagonR Hybrid

The hybrid version of the WagonR could perhaps become a city king in mileage. The tall-boy design, easy ingress-agress, and Maruti reliability will make it quite practical. Expected price: 7-9.5 lakh.

Conclusion

Also Read : Top 5 Compact SUVs Launched in India 2025 – Fuel Economy, Safety Features and City Driving Use

Bigger mileage, smaller size, and techno-savvy updates will be the focus of budget cars in 2026. Fuel prices and easy maintenance will be the greatest advantage to the city user.”