The $30K SUV That’s Packed With Features: Meet the Mahindra XUV 3XO

Not that long ago, if you wanted a top-spec SUV loaded with all the bells and whistles, you had to prime the credit card – because it was going to cost you. A lot. 

But a new compact SUV is challenging for the title of best value SUV in Australia in 2025, catching the eye of Aussie bargain hunters, and over-50s looking to downsize, with a list of goodies like a car costing $10,000 more. 

From just $23,490 drive-away (and under four metres long), the new Mahindra XUV 3XO also comes with a glass opening sunroof, a seven-year warranty, an Advanced Driver Assistance System (ADAS) and wireless Apple CarPlay and Android Auto – and that’s just the start. 

This budget SUV with premium features is shaking up its segment in multiple ways. In the case of the top-spec, $26,490 drive-away Mahindra XUV 3XO AX7L, you can add to the above equipment a full panoramic glass roof (with opening sunroof portion), dual 10.25-inch digital displays, 17-inch diamond-cut alloy wheels, Harmon Kardon stereo system (a supplier to BMW, Mercedes-Benz and Volvo), fresh exterior styling, delightful interior finishes, and more. 

If it’s a new SUV leaving you wanting for nothing with every modern convenience – for the lowest possible price – look no further. 

Mahindra has been in Australia for nearly 20 years and has more than 70 dealers across the country. In this article, we explore its XUV 3XO’s value proposition against competitors, its comfort and practicality, and the ways this compact SUV outshines pricier rivals on efficiency, tech and cabin space. 

All XUV 3XO models come with a full Advanced Driver Assistance System (ADAS) offering a long list of active safety features such as Autonomous Emergency Braking (AEB) with pedestrian and cyclist detection, Active Lane Keeping, Lane Departure Warning, Traffic Sign Recognition and Forward Collision Warning. 

With Adaptive Cruise Control and active lane keeping, the XUV 3XO is also equipped as standard with Level 2 semi-autonomous driving capability. On long drives, activate the XUV 3XO’s cruise control and Smart Pilot Assist mode not just maintains speed and distance to the car ahead, but also keeps the XUV 3XO confidently within its lane. 

For passive safety, the XUV 3XO has six airbags and a super-strong passenger safety cell comprised of 45 percent high-strength, ultra-high-strength and advanced high-strength steel. The XUV 3XO was rated five stars in Bharat NCAP crash-testing for adult and child occupant protection. In a nutshell, Bharat NCAP is modelled on Global NCAP, with the only difference being Global NCAP awards extra points for seatbelt reminders, which the XUV3XO has in abundance. In fact, it has seatbelt reminders on all five seats.

Inside the Mahindra XUV 3XO interior you’ll find a 10.25-inch central infotainment touchscreen that’s big, clear and easy to use – and connects to your Apple iPhone or Android smartphone wirelessly. That’s unlike many pricier compact SUVs which still require you to use a cable. 

If you need to charge your phone, there’s a wireless phone charging pad, but also a powerful 65-watt USB-C outlet for maximum juice in the shortest possible time. 

Inside, the XUV 3XO offers plenty of cabin space. At just under four metres long, the XUV 3XO is the perfect size for city driving – but somehow feels roomier than competitor vehicles. That’s because at 1821mm wide, the XUV 3XO might be shorter than other compact SUVs, but the cabin is just as wide, if not wider – maximising shoulder and elbow room for front and rear passengers. 

The 2600mm wheelbase, again comparable to larger cars, means no compromise on rear legroom – and Mahindra includes a 364-litre luggage compartment, making this a small SUV with a big boot. 

The XUV 3XO’s elevated Command Driving Position gives greater visibility of the road ahead but also makes it easier to get in and out. 

Parking is effortless thanks to the XUV 3XO’s compact dimensions but also the standard reversing camera on the base AX5L – and the game-changing, high-definition 360-degree surround view of the top-spec AX7L, powered by four exterior cameras.

Using just 6.5L/100km (combined) and running on regular 91RON unleaded petrol, the XUV 3XO will be friendly to any family budget or SUV for downsizers over 50 watching their dollars, with grandkids in tow. The XUV 3XO is perfect for every life stage, whether you’re retiring and looking to downsize into something modern, efficient and safe – or just looking for a bargain for your family’s second car. Light steering and a tight turning circle make it easy and comfortable to drive. A characterful, turbo-intercooled three-cylinder engine, producing a peppy 82kW at 5000rpm and 200Nm of torque from just 1500rpm, makes the XUV 3XO fun. 

With a seven-year, 150,000km warranty and seven years of roadside assistance, reliability is guaranteed. Established in 1945, Mahindra has been in the business for 80 years in 2025 and is the world’s best-selling tractor manufacturer – having earned the trust and respect of some of the toughest customers. Mahindra now produces affordable, reliable premium SUVs – and is preparing to bring to market its first high-tech EV.

At $26,490 drive-away, the top-spec XUV 3XO AX7L comes with every feature you could ever want – but simply costs less. As this table shows, it’s also more fuel efficient and comes with a smooth-shifting, six-speed automatic transmission (supplied by Aisin, owned by the Toyota Group). No CVT here. 

Against the other vehicles below, the XUV 3XO is the only compact SUV to have wireless Apple CarPlay. The XUV 3XO also comes with physical buttons and dials for functions such as the dual-zone climate control and volume; while the powerful air-conditioning, with standard rear air-vents on all models, is engineered to excel in temperatures exceeding 40 degrees. 

Mahindra also offers capped price servicing costing just $1994 over six years and 85,000km – working out to be just $0.02 per kilometre. 

If you’re keen to get into a feature-packed, top-spec SUV for under $30,000, head down to your local Mahindra dealer to test drive the XUV 3XO – and find a finance option that works for you.