2026 Mahindra XUV 3XO AX7L review

It’s not just Chinese car brands looking to grab your attention in Australia. Mahindra wants a bigger slice of our automotive pie.

An Indian brand – which is a corporate behemoth in its own right – has been something of an obscurity in Australia in recent years. It’s had SUVs and four-wheel-drive utes (Australia’s two most popular car segments), but has failed to secure any real cut-through with consumers.

The brand is going through a rejuvenation at the moment, though, with a range of new models like the Scorpio and XUV 700 improving the appeal and quality of Mahindra’s offerings to Aussie car buyers.

But it’s probably the pint-sized XUV 3XO that might have the greatest amount of appeal and possible success in the Australian market.

The Mahindra XUV 3XO is a light SUV – measuring in at just under four metres long – with a small price tag. It starts at $23,990 drive-away, making it one of Australia’s cheapest SUVs, and cheapest cars outright. 

The Chery Tiggo 4 is floating around at about that same price, but buyers also have options like the Suzuki Fronx, GAC Emzoom, GWM Haval Jolion, Hyundai Venue and Kia Stonic to consider.

We've got the top-spec XUV 3XO here, which is called AX7L, and priced at $26,990 drive-away.

The full name of this model sounds like a cat jumped on your keyboard halfway through typing: 2026 Mahindra XUV 3XO AX7L.

Standard kit here includes a 10.25-inch infotainment display and digital instrument cluster, dual-zone climate control, keyless entry and push-button start, tyre pressure monitoring, automatic headlights, high-beam assistance and a 360-degree camera system.

Opting for the AX7L swaps out 16-inch alloys for 17s, and turns the regular sunroof into a panoramic one. The six-speaker sound system grows to seven with Harman Kardon branding, and AX7L picks up front parking sensors, 65-watt USB-C fast charging, LED front fog lights and some faux leather materials on the inside.

Under the bonnet is a 1.2 'TCMPFi' (there goes the cat again) three-cylinder turbocharged petrol engine that knocks out a respectable 82kW. Torque is strong with 200Nm available between 1500–3500rpm. This feeds the front wheels through a six-speed Aisin-sourced automatic transmission.

Claimed fuel economy is 6.5 litres per 100 kilometres on the combined cycle, giving a theoretical distance of around 640km from the 42-litre fuel tank.

Find your nearest Mahindra dealer here to check out the XUV 3XO in person. There is a solid range of dealers across all states and territories, save for the Northern Territory.

Being just under four metres long gives the Mahindra XUV 3XO similar dimensions to something like a Hyundai Venue, but noticeably smaller than what you get with a similarly priced Chery Tiggo 4, MG ZS or GWM Haval Jolion.

Looking at the car from the outside, you can see the squared-off rear end, which indicates where some of that length has been saved.

But, credit to the design of this car, because boot space isn't as bad as what you might expect from the outside. There is 364 litres available, provided that you load this car up to the roof line, so be prepared to stack things up a bit on that road trip you're planning.

The floor of the boot sits low but still offers accommodation for the space-saving spare wheel underneath. The second row folds down in a 60/40 split for more space, but it doesn't go flat.

In the second row, the amount of space available is decent without being excellent. There are more spacious SUVs at a similar price point available, but the XUV 3XO is solid enough in this regard. Buyers probably aren't expecting this car to match leg room with a Maybach Pullman, I reckon. Bonus points for the air vents, though, which passengers will no doubt appreciate on hot summer days.

Up front, the XUV 3XO is a bit of a mixed bag. Some of the materials are that really shiny plastic that feels cheap, which is fine for a car at this price point. But when you cast your eye over other interiors available at similar prices (in terms of materials and design), this feels a step behind.

Build quality feels good, and the dated design does bring the benefit of having lots of physical controls to interact with: fan speed, temperature, volume. Call me crazy, but I would prefer buttons like this over an all-consuming screen that controls everything.

Seating comfort is fair, being impinged a little by the lack of steering column reach adjustment. But ergonomically, it's not too bad. The seats do feel a little flat and narrow compared to some other light SUVs.

The 10.25-inch infotainment display in the 3XO works well, bringing with it crucial technology of Apple CarPlay and Android Auto. Well, it's not really crucial, considering how many years we got along just fine without it. But you could say it's crucial for acceptance and success in the Australian market.

Both of those functions are wireless, and there is a wireless charging pad to complete the cable-free picture here. If you'd prefer, though, you have USB-C and USB-A power outlets.

The operating system works well enough, with basic controls and functions as well as sharp responsiveness. There isn't really a trove of menus and tricks to dive through here, but I don't think you really need it either. Just connect your phone up, use that for your navigation and entertainment, and be on your way.

This is one area of the 3XO's appeal that takes a bit of a battering, even though we don't know the full picture. Why? Because the car has not been crash-tested by ANCAP or Euro NCAP for comparison against its peers.

Mahindra has not submitted the car to ANCAP for testing in Australia, but ANCAP might also do the testing of its own accord at some point in the future.

By Mahindra's own admissions previously, the car would not be able to make a five-star result in its current form and would require some upgrades, additions or changes.

In comparison, other SUVs at this price point do come with a recent five-star ANCAP safety rating. But how many stars effectively this XUV 3XO is – and where the shortcomings might be – are not fully known.

The Mahindra XUV 3XO is good for a lot of safety equipment and benefits from some nice additions like a 360-degree camera, good visibility from the driver's seat and tyre pressure monitoring.

However, the most notable features lacking are both blind-spot monitoring and rear cross-traffic alert; two features that use the same hardware (sensors mounted in the rear bumper) and can be very useful in an urban-focussed vehicle.

Traffic sign recognition can be a bit onerous in this vehicle, in terms of the noises, taking over the digital cluster and general inaccuracy. I also note that even when the 3XO got the speed sign reading right, it would warn you of overspeeding before you were actually breaking the limit.

While the first visit to the dealer is free at 1500km, your first paid visit comes at 10,000km. After that point, there are 15,000km intervals or every 12 months.

The first three years runs you to $907, or $1595 for five years, which are impressively low numbers. Although, the arch-nemesis Chery Tiggo 4 does come in even lower than this.

Insurance costs for a 2026 Mahindra XUV 3XO AX7L (there goes the cat again) are set at $1410.91 per year, which is a comparative quote for a 35-year-old male living in Chatswood, NSW. Insurance estimates may vary based on your location, driving history, and personal circumstances.

A small engine equals low fuel consumption, and the Mahindra fares reasonably well in the consumption stakes. It's happy on the cheap fuel as well, which helps on the running costs.

There's no hybrid assistance of any form in this car, and there isn't anything coming in the short term. But in saying that, fully hybrid competitors do tend to cost a bit more than this model, so the consumption figure of around 7-8L/100km in the real world is pretty good.

Many of us have a soft spot for three-cylinder engines, especially when they are helped along by a turbocharger. And in this case, there is a bit of charming character from this powerplant to enjoy. It has some noise under operation, with a thrumming soundtrack becoming a bit more of a mechanical din when working hard under load.

The turbocharging helps with responsiveness, with peak torque being available at a wide range of revs. And importantly, it starts at 1500rpm. The engine starts to feel a little more exasperated higher up the tachometer, and especially at highway speeds, where that 82kW can be fully called upon to get up a bit of speed and momentum.

Compared to a naturally aspirated Suzuki Fronx or MG ZS, this little Mahindra's engine acquits itself well. The six-speed automatic transmission does a good job, not rushing its gear changes or being overly active, but it manages the engine revs quite well.

Ride quality and body control are also pretty good overall, and the car doesn't tend to waft and wobble over the bumps like some can. It can skip over some surfaces with a little bit of a jitter at times, but overall is solid through the suspension and chassis.

Its steering is on the light side of the equation and isn't as well dialled as other parts of the car. It can feel a bit vague and non-communicative at times, but that's less of a problem when you're tootling around town.

The good ground clearance, wheels at each corner and minimal overhangs mean it feels well suited to pop over speedbumps and potholes happily, and ready to take on the urban jungle fairly confidently. Good visibility from the driver's seat underpins this feeling as well, along with the 360-degree camera. Although, the quality of the blind-spot-view camera could be improved.

You might need to get used to the three different driving modes, named 'Zip' 'Zap' and 'Zoom'. It breaks things up from the usual Eco, Comfort and Sport, I guess, but it leaves a bit to the imagination to figure out what they actually do. In reality, it seems to adjust a bit of the throttle tuning and responsiveness.

Yes, but not a lot. There is a cap of 750kg for towing on the little Mahindra, regardless of whether the trailer is braked or not.

This is better than what you get in the Chery Tiggo 4, which is effectively unrated for towing. Not many buy a car like this as a serious tow vehicle, but even a meagre form of capacity can be handy (but you'll of course also need to get a towbar fitted).

The Hyundai has a better braked towing capacity of 1100kg, while the GWM Haval Jolion goes up to 1500kg.

The slightly rorty engine in the XUV 3XO, which gives a decent mix of performance and efficiency, does bring some appeal in this price point of the market.

Its value is excellent as well, in terms of how much standard equipment you get piled into this little SUV. And it's packaged pretty well, with a decent second row, usable boot and space-saving spare wheel.

But others at this price point can offer a larger footprint, as well as a more upmarket interior design for a similar asking price.

For those looking for a small runabout for under $30,000, then the XUV 3XO is worth a test drive.

Sam Purcell has been writing about cars, four-wheel driving and camping since 2013, and obsessed with anything that goes brum-brum longer than he can remember. Sam joined the team at CarAdvice/Drive as the off-road Editor in 2018, after cutting his teeth at Unsealed 4X4 and Pat Callinan’s 4X4 Adventures. Off-road writer of the Year, Winner - Sam Purcell

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