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Amid a tidal wave of newcomers from China enters the Mahindra XUV 3XO city SUV from India, priced competitively – from less than $24,000 drive-away – to win over buyers on a budget.
The 2025 Mahindra XUV 3XO city SUV will be one of Australia's cheapest cars when it arrives in Australian showrooms this week, sold alongside the Indian brand's larger family SUVs and 4WDs.
The first batch of XUV 3XOs will start from $23,490 drive-away as part of an introductory offer available until August 31, undercutting the slightly-larger Chery Tiggo 4 ($23,990 drive-away) and MG ZS ($26,990 drive-away.
It will rise to $23,990 drive-away from September 1, matching the Chery and remaining one of Australia's most affordable new vehicles.
The 3XO – revealed locally at the Melbourne motor show – launched in India last year, and can trace its roots to the SsangYong Tivoli SUV sold in Australia until the COVID-19 pandemic, when SsangYong was owned by the Indian giant.
There are two grades of the XUV 3XO from launch: the entry-level AX5L and the top-grade AX7L.
The entry price applies to the AX5L, with the AX7L priced from $26,490 drive-away until August 31, or $26,990 from September 1.
Its affordable price tag is designed to entice buyers away from the likes of the Chery Tiggo 4, while more established rivals in the form of the Kia Stonic and Hyundai Venue, which are currently priced from $28,290 and $27,990 drive-away nationwide with an automatic transmission.
Standard features in the XUV 3XO AX5L include black cloth seat upholstery, a 10.25-inch infotainment touchscreen, 10.25-inch digital instrument cluster, and wireless Apple CarPlay and Android Auto.
It also gets a leather steering wheel and gear selector, six-speaker sound system, dual-zone climate control, single-pane sunroof, 16-inch diamond-cut alloy wheels, a chilled glovebox, and keyless entry.
Flagship AX7L versions add 17-inch wheels, a panoramic sunroof, a seven-speaker Harman Kardon sound system with subwoofer, an illuminated and chilled glovebox, a wireless phone charger, LED fog lights, and front and rear USB-C ports.
The seats are trimmed in black cloth in the AX5L, upgraded to black leather-look upholstery in the AX7L for the seats, dash and door trims.
Both grades are available in a choice of four colours – Everest White, Tango Red, Galaxy Grey and Stealth Black for the AX5L, with the black swapped out for Citrine Yellow in the AX7L. Only white is standard, with all others a $495 extra.
The AX7L also offers two-tone paint, with Stealth Black added for the roof.
Both variants are powered by a 1.2-litre three-cylinder turbo-petrol engine producing 82kW/200Nm, matched with a six-speed torque-converter automatic transmission and front-wheel drive.
Mahindra claims fuel consumption of 6.5 litres per 100 kilometres, splitting a Chery Tiggo 4 petrol (7.4L/100km) and hybrid (5.4L/100km).
The Mahindra XUV 3XO is one of the smallest SUVs on sale, measuring 3990mm long, 1821mm wide, and 1647mm high, on a 2600mm wheelbase. It quotes 364 litres of boot space with the rear seats upright.
Mahindra covers its newest SUV with a seven-year/150,000km warranty, with servicing required every 12 months or 10,000km, whichever comes first.
The 2025 Mahindra XUV 3XO is in showrooms from July 4.
2025 Mahindra XUV 3XO price in Australia
Note: All prices above are drive-away.
2025 Mahindra XUV 3XO AX5L standard features:
2025 Mahindra XUV 3XO AX7L adds (over AX5L):
A born-and-bred newshound, Kathryn has worked her way up through the ranks reporting for, and later editing, two renowned UK regional newspapers and websites, before moving on to join the digital newsdesk of one of the world’s most popular newspapers – The Sun. More recently, she’s done a short stint in PR in the not-for-profit sector, and led the news team at Wheels Media.
