There haven’t always been many exciting options for affordable cars in Australia. Mahindra has filled that gap. While the brand’s predecessor, the XUV300, continues to garner some attention as a competent small crossover, the XUV3XO is currently the most affordable SUV available in Australia. However, do the savings come with too many compromises, or are these SUVs a wise purchase? Let’s get started.
The Mahindra XUV3XO’s Pros
- It’s incredibly reasonably priced
Mahindra has shaken up the market by pricing the XUV3XO from just $23,490 drive-away. At $26,490, even the more expensive AX7L trim undercuts competitors like the MG ZS and Chery Tiggo 4. That is a difficult price to overlook for families searching for a second vehicle or first-time purchasers. - Packed with Unexpected Features
Here, cheap does not equate to bare-bones. Dual 10.25-inch screens, wireless Apple CarPlay and Android Auto, keyless entry, a sunroof (yes, even on the base model), and contemporary safety features like adaptive cruise control, lane-keep assist, AEB, and even a 360-degree camera on the top trim are all features of the XUV3XO. This is comparable to many SUVs that cost thousands more. - Cozy and useful
There is ample passenger space and a surprisingly spacious boot inside. It’s simple to drive around town, and features like USB-C ports, dual-zone climate control, and auto-hold make life a little bit easier. - Comfort with a Guarantee
Because Mahindra is aware that it is still gaining favor with Australians, the XUV3XO has a strong warranty and service plan, which lessens the risk of ownership.
The Mahindra XUV3XO’s Cons
- The Initial Price Is Not Permanent
Only until August 31, 2025, is the discounted price available. The price will then increase by roughly $500. Not quite the same shock factor, but still inexpensive. - Engine Performance Is Only “Okay”
Although the 1.2-liter three-cylinder turbocharged petrol engine (82kW, 200Nm) is adequate for city driving, it lacks noticeable strength when traveling on highways or carrying a full complement of passengers. This isn’t what you’re looking for if you want thrills while driving. - Safety Testing Is Still Getting Better
Although it has many safety features, the local ANCAP rating is still pending. Until it is formally tested in Australia, that might deter some buyers. - In Australia, Mahindra is still relatively unknown.
When it comes to passenger cars, Mahindra has a shorter history than Toyota, Mazda, or Hyundai. This indicates some hesitancy regarding resale value, parts availability, and long-term dependability.
Mahindra XUV300, the older brother
The XUV300 came before the XUV3XO. It was a sturdy, secure small SUV with good crash test results that was available in foreign markets with both gasoline and diesel engine options. It feels outdated, though, in comparison to the current XUV3XO; the infotainment was smaller, the design was simpler, and it lacked contemporary driver-assist features.
Nevertheless, it prepared the way for Mahindra to introduce a more sophisticated model to Australia.
The Mahindra XUV3XO is truly amazing if you’re looking for the least expensive SUV in Australia at the moment. It’s practical enough for daily family life, reasonably priced, and loaded with features you wouldn’t expect at this price range.
It’s not flawless, though, like any inexpensive purchase. The price won’t remain this low indefinitely, performance is mediocre, and brand reputation is still developing.
Although the XUV300 was a decent beginning, if you want the best value for your money right now, the XUV3XO is a better option.
