Honda HR-V vs Mahindra XUV700

What's the difference?

You could look at the 2022 HR-V and think that Honda has taken a step back.

After all, there’s less space in the boot, there’s one less seat and the prices have – at first glance – gone up.

In reality though, the HR-V, especially in this e:HEV L form, offers up a genuine rival to Toyotas, Mazdas and Kias that dominate the small SUV space.

The 2022 HR-V is a properly handsome car, the hybrid powertrain is miserly on fuel, and the handling characteristics are honestly pretty fantastic.

We love a car which subverts expectations, and for the most part, the XUV700 has managed to. It feels like the brand has leapt over a few steps when it comes to design, quality, and particularly drivability, which bodes well when you combine it with a bargain price, a good equipment list and solid packaging.

The question is: Does the Australian market have room for yet another value player in a space already so well occupied by Chinese newcomers? Only time will tell.

If you close your eyes for a second and think of the best-looking Hondas of all time, I bet the likes of the first-generation NSX, S2000 and two-door Integra come to mind.

And while this new HR-V design doesn’t quite match the heights of Honda in the 90s, it’s certainly a significant step in the right direction compared to the car it replaces.

Gone is the slightly derivative styling and pudgy proportions, replaced with a much more taut, muscular and confident body.

The new grille design is of particular note, as it melds the intakes with the bumper and, when combined with the sleek headlights, makes the HR-V look like it could be from the future.

From the side, the new HR-V retains the hidden door handles of its predecessor, which pays homage to the three-door SUV shape available in the first-generation car.

The long bonnet, short overhangs and sloping window line also give this Honda a particularly athletic appearance, while the 18-inch wheels are also just about big enough to fill the arches, and feature an interesting enough design.

The rear end is dominated by the latest automotive design trend of connected tail-lights, but the relatively flat bootlid and clean aesthetic give the HR-V a really modern look.

The bootlid spoiler is also a nice touch, while this car’s contrasting kick plate adds to the illusion of its off-road credentials.

Inside, the HR-V also adopts a cleaner aesthetic – much like its Civic sibling – centred on a large 9.0-inch central touchscreen multimedia system, which thankfully features a physical volume control knob.

There are some cool design touches here too, like air vent switches with settings for open, close and diffusion, and touch-operated roof lights.

The best part of the interior, however, is fit, finish and feel. All the touch points are soft and there’s just a solid weight to everything. It’s probably no coincidence that all new Australian HR-Vs are now sourced from Japan.

To us, the new HR-V is a stunner. The styling is more mature and confident than before, and between this and the new-gen Civic, Honda’s design department seems to have rediscovered its mojo.

The XUV700 is a clean-sheet design on an all-new platform and it shows. There are still echoes of the past in this SUVs bodywork, with the raised rear haunches and traditional Mahindra-shaped grille, but it feels like it’s taken a massive leap into the 21st century this time around.

It has a strong modern flavour and presence on the road, which doesn’t feel more than a generation behind like previous Mahindra offerings. Gone are the awkward curves and frumpy edges of its predecessors, and instead we’re welcomed by a more refined face, nipped and tucked rear with sporty touches, tough haunches and a contemporary overall look.

Inside the most dramatic upgrades have been deployed, including the impressive digital suite, seemingly decent software with a quick, responsive, and customisable instrument cluster, a new more attractive steering wheel, and a much smoother flow and coherency to design which we haven’t seen before from the Indian giant.

There are only a handful of areas, like the dorky elongated shifter, some hard plastics in the doors and atop the shapely dash, and the manual handbrake in the base car to remind you of its bargain price-point and origins.

It’s nice these attributes unite for an uncontroversial and modern overall feel, and quality is feeling on-par, but it’s also hardly original.

The headlights and steering wheel look like they could be worn by any Renault, the tail-lights look like they belong on a Nissan, and the dual-screen dash and door-mounted electric seat controls are clearly meant to emulate Mercedes.

Actually, one for the switchgear nerds, the function stalks are from the SsangYong parts bin, a holdover from when Mahindra owned the Korean automaker. Still, if you’re going to take inspiration, I can think of worse places to take it from, and it’s frankly remarkable all these pieces of inspiration fall together so well.

From the outside, aside from the styling, the 2022 Honda HR-V doesn’t seem like its changed all that much – it’s still a practical five-door small SUV, right?

And from the front seat, the new HR-V paints a very familiar picture.

There is plenty of room for the driver and front passenger, the seats have plenty of adjustability, and there’s storage for your water bottle, wallet and phone.

There’s even an underarm storage cubby that’s deep enough for you to lose some spare change or throw a charging cable or two into.

However, from the second row, the story really starts to change – especially compared with the outgoing model.

Whereas the old HR-V was classed as a five-seater, the 2022 version has seating for only four.

This is due to the middle ‘seat’ fouling Australia’s unique design rules for what can be classified as a seat, and does not have a seat belt.

How much would you’d actually use the middle seat if there was a seat belt there? That’s for you to decide, but it’s certainly a deal-breaker for some families.

Regardless, the two outboard seats offer heaps of leg- and shoulder-room, and our head can just about squeeze in comfortably without hitting the roof.

It’s certainly comfortable enough, and there’s a bottle holder in the door and air vents here to keep you comfortable, while the lack of centre seat means second-row passengers can have a full-time armrest with extra cupholders.

There’s also USB ports and backseat map pockets with a handy phone sling, so you don’t have to go reaching all the way down to get your mobile.

One saving grace for the rear seats, however, is the inclusion of Honda’s versatile ‘Magic Seats’, which allows you to fold the base of the rear seats up to accommodate taller objects like house plants.

The rear seats can also fold flat, creating a 1274 litre boot space, which measures just 304L with the rear seats upright.

This makes the 2022 HR-V’s boot smaller than the outgoing model, which could accommodate about 100-130 litres more, and even smaller than rivals like the Toyota C-HR and Mazda CX-30.

In fact, so small is the new HR-V’s boot, it’s even smaller than the Jazz light hatchback that was discontinued in 2020 – so don’t expect to see this small HR-V hauling timber from Bunnings or flat-packed furniture from Ikea.

Low-cost options in the mid-size SUV space usually get a bunch of basic stuff wrong. Laggy, ugly software, for example, is prevalent in the MG HS, while clumsy switchgear takes away from the Haval H6, and a particularly awkward driving position is notable in the LDV D90.

Mahindra’s XUV700 does not fall into these traps. The front seat feels spacious and airy, the seating position is high but not unsettling, and the thing which took me aback the most is the way everything works.

It’s a little annoying the base car gets no telescopic adjust and misses out on a second bottle holder because of the manual handbrake, but other than this, the ergonomics in the cabin are solid. A centre dial, for example, can be switched from navigation controls to function as a volume dial if desired, and there are plenty of shortcut buttons for the multimedia and the dual-zone climate making it a breeze to adjust things on the move.

For storage there is a large bottle holder and map pocket in each door, a large bottle holder (two in the case of the AX7L) in the centre, a bay under the climate unit good for phones and wallets (it is a wireless charging pad in the AX7L), and there’s a deep armrest console box between the front occupants.

The second row is also airy and spacious, with a nearly flat floor making even the centre position seemingly suitable for an adult. Behind my own seating position I had plenty of space at 182cm tall, and there are a set of adjustable air vents plus a slot for a phone, a USB-C charging outlet, and large bottle holders in the doors.

The third row? It’s not bad, but I’ve sat in better. The left-hand side second-row seat folds up and rolls forward, making access better than some of its rivals, but behind the second row my knees are hard up against the seat in front, and my head is touching the roof. There’s decent amenity; a bottle holder on each side and an adjustable air vent with a fan controller, but this is a space best left for kids.

Mahindra doesn’t have an official boot capacity number to give us yet, but predicts it will be over 700 litres given the dimensions. With the third-row folded it looks cavernous, but with it deployed you’ll be lucky to get a day bag in behind.

For those interested in towing, the XUV700 can tow a 1500kg braked trailer (750kg unbraked) and there’s halfway decent ground clearance, at 196mm.

This car has its work cut out for it because the precedent for Mahindra SUVs in Australia isn’t great.

Back in 2018, this car’s predecessor, the XUV500 arrived to lacklustre reviews despite its similar market positioning. Back then, low-cost alone wasn’t enough to crack Australia’s heated mid-size SUV market, but now Mahindra is promising its all-new generation product is different and ready for a more global audience.

The pricing for the XUV700 is immediately impressive. Starting at $36,990 drive-away for the entry-point AX7, this car is now officially Australia’s cheapest seven-seat SUV, and this hasn’t come at the expense of standard equipment.

The price includes 18-inch alloy wheels, LED headlights, dual 10.25-inch screens for the multimedia and digital instruments, wired Apple CarPlay and Android Auto connectivity, synthetic leather interior trim, a six-way power adjustable driver’s seat, dual-zone climate control, push-start ignition, and even a panoramic sunroof.

Stepping up to the top-spec AX7L which commands a $3000 premium ($39,990 drive-away) adds some missing safety equipment like a blind spot view monitor, a more advanced adaptive cruise system (able to come to a full stop and re-start), as well as a 360-degree parking camera.

This version also scores electronically retracting door handles, a premium audio system, and a wireless phone charger.

Bizarrely, it also adds a seventh airbag for the driver’s knee and a telescopically adjustable steering column, and swaps out the manual lever handbrake for a digital switch.

These are things which would normally be expected as standard on many of its rivals, and it’s a shame to see safety items, particularly airbags, behind a paywall.

Regardless, the fact this car manages to significantly undercut established rivals like the entry-level seven-seat Nissan X-Trail, Mitsubishi Outlander, Honda CR-V and even the cut-price LDV D90, while providing similar equipment levels is pretty impressive.

There are no options for now bar several accessories. All five colour options are free, and Mahindra says there’s more to come in terms of spec levels and interior options if all goes well.

Under the bonnet of the HR-V e:HEV L you’ll find a 1.5-litre four-cylinder petrol engine, but Honda has also thrown in two electric motors to make this car a hybrid.

In total, there is 96kW of power and 253Nm of torque available, making it competitive against its rivals for potency, but the bigger benefit of this hybrid set-up is in its lower fuel consumption figure.

Meanwhile, the Vi X forgoes the electric motors and is powered exclusively by a 1.5-litre four-cylinder petrol engine.

The entry-level HR-V manages to muster up 89kW of power and 145Nm of torque – and if that sounds a little underpowered, it’s because it is.

Compared to rivals like the Toyota C-HR and Mazda CX-30, the cheapest HR-V is well down on power and torque as all its competitors make use of larger engines or a turbocharger for a bit more grunt.

Whichever HR-V engine you end up with, both are paired to a continuously variable transmission that sends drive to the front wheels.

There’s just one engine for the XUV700 for now, a 2.0-litre turbocharged four-cylinder designed in-house at Mahindra.

Power outputs are comparatively impressive at 147kW/380Nm, especially when lined up against the old 2.5-litre non-turbo units powering some rivals.

The power is channelled to the front wheels via a six-speed Aisin-sourced traditional torque converter automatic. For a keen driver this is preferable to a CVT or a dual-clutch, so this sits well with us.

Overseas there is also the option of a 2.2-litre turbo-diesel (136kW/450Nm) with all-wheel drive, but this is yet to materialise for the Australian market.

Officially this HR-V e:HEV L will return a fuel consumption figure of just 4.3 litres per 100km, helped by its petrol-electric hybrid powertrain.

This figure not only beats out the petrol-only Mazda CX-30 line-up, but also matches the Toyota C-HR Hybrid for frugality.

In our time with the HR-V e:HEV L, we actually managed to match the 4.3L/100km claim with a healthy mix of inner-city and freeway driving.

Very rarely do fuel consumption claims translate to a real-world setting, so it's heartening to see that the Honda HR-V living up to what’s promised on the box.

The petrol-only Vi X meanwhile, wears an official fuel consumption figure of 5.8L/100km, but having not yet driven that car, we cannot comment on the accuracy of that claim.

Efficiency is officially rated at 8.3L/100km for both XUV700 grades, which is not bad but not great. Understandable for an SUV which weighs in excess of 1800kg powered by a 2.0-litre turbocharged engine.

We didn’t pull an as-tested fuel number this time around as we were hopping in and out of different vehicles, so standby for a more detailed analysis when we have one for a week-long follow-up test.

The fuel tank comes in at 60 litres, for a theoretical range of roughly 723km.

Hoping to hold out for a hybrid? Don’t. Mahindra isn’t working on one. Look to its incoming fully-electric BE sub-brand instead.

How do you think a small SUV should drive on the road? To us, I want something that is easy to use with great visibility and a minimal number of rattles and squeaks.

And this Honda HR-V absolutely delivers.

Let’s start with the powertrain. On paper this HR-V e:HEV L’s outputs are nothing to write home about, but out in the real world, there is plenty of gusto to come off the line briskly.

Don’t get us wrong, it’s not going to blow away hot hatches or even most turbocharged cars, but accelerating up to 60km/h isn’t an exercise in testing your patience.

The powertrain is also a smart one, able to switch EV, hybrid and engine mode depending on what is required in any given situation.

The switchover from EV to petrol power is also smooth and seamless, there’s no jerkiness or clunkiness here, it all just works exactly how, and when, you want it to.

In fact, if you had your music pumping at head-bobbing levels, we’d wager you wouldn’t even know whether the petrol engine or electric motors were at work, save for the ‘EV’ indicator light on the instrumentation.

The CVT in this HR-V also does a fairly decent job, and for the most part fades into background of the driving experience – which is a good thing.

When flat-footing it, the HR-V does get a bit revvy and harsh, but for the most part, and especially during inner-city journeys, this car is a delight.

The steering is also very nicely weighted, and there’s a connection between the wheel and what’s happening underneath that’s rare to see in this class of car.

It means the HR-V is genuinely fun to pilot, whether ducking into an on-street park or navigating a series of S bends on a country road. What a pleasant surprise!

It’s good. Surprised? Me too.

The XUV700 is good to drive in a fundamental way which is not the case for its Chinese rivals. There’s no impending feel of understeer or clumsy dynamics on show. The XUV700 is controlled and solid on the road, with a surprising level of refinement in the cabin.

Visibility is plentiful, and while power from the turbo engine isn’t quite as urgent as the figures initially suggest, it’s more than enough for a family commuter. Even the six-speed transmission is smooth and unobtrusive, unlike many dual-clutch or CVT options in this space. There isn’t even any noisy engine surging, with the unit here feeling refined and distant.

It’s almost ready to duke it out with more established rivals, but there are still flaws. The steering, for example, is very light. This will make it easy to control in low-speed parking situations, but it lacks any kind of feel or feedback at speed.

The ride is comfortable, perfect for its family intentions. Mahindra utilises a multi-chamber system here to achieve unusually competent response over a host of different surfaces, especially rare for a vehicle at this price or in this category. Everything comes at a cost, though, and the cost of this system is a fair bit of body roll in the corners, and a bouncy nature over undulations. 

Fundamentally, though, this car is solid. Nothing proved this more than the brand letting us drive its family SUV on a track at speed. What seems like a silly stunt is an important vote of confidence in the way this car handles, because it’s at track speeds and conditions where all the ugly characteristics will come to the fore.

While it’s certainly no track hero, what was most impressive is despite its rolly suspension and ultra-light steering, there were no major red flags about this car which stood out. It’s solid, and Mahindra knows it. I’d dare MG or GWM to do the same with the HS or H6.

What does all this mean for you? The car has safe road holding and confident dynamics, as well as the comfort for your family. It’s not as razor-sharp as the Japanese or Korean competition, but it’s better than all of its low-cost rivals.

At least on paper, the XUV700 does well. Standard active equipment includes auto emergency braking (a first for the brand, which we were given the opportunity to test on a dummy - it definitely works), lane keep assist with lane departure warning, adaptive cruise control, and traffic sign recognition.

Only the top-spec AX7L gets stop and go function for the adaptive cruise, a 360-degree parking camera suite, and a laggy low-framerate blind spot camera in place of an actual blind spot sensor system, the latter being the standard throughout the industry.

The side curtains extend all the way to the third row, although, oddly, the AX7L is the only one to get a seventh airbag (for the driver’s knee).

The verdict is out on this car’s actual crash performance until it secures an ANCAP rating, which it is yet to do.

Like all new Hondas sold in Australia in 2022, the HR-V comes with a five-year/unlimited kilometre warranty.

Scheduled service intervals are every 12 months or 10,000km, whichever occurs first, which is a bit less mileage than the industry standard of 12 months/15,000km.

However, all of Honda’s vehicles now fall under its ‘5 Low Price Services’ scheme, which means each service for the first five years will only cost $125.

This means that the first five years of ownership should only set buyers back $625 – and this price applies to the hybrid and non-hybrid engine of the HR-V.

What’s even better, however, is that this makes the 2022 HR-V cheaper to maintain than the CX-30, C-HR and Niro.

Seven years of warranty is a good start, and has Mahindra joining an increasingly large club of challenger brands which are following in the footsteps of Kia by offering above-average coverage in this department. Mahindra’s version only covers the first 150,000km of distance, but there’s seven-years of roadside assist, too.

At the time of writing, Mahindra was yet to land on service pricing. This could be the last piece of the puzzle for some buyers. The XUV700 needs to be serviced once every 12 months or 10,000km.