Lexus LBX vs Mahindra Xuv 3Xo

What's the difference?

Lexus has managed to combine two cars in one. A fast, impossibly fun back-road blaster perfect for weekends on your favourite winding roads, and a competent, compact city SUV that will easily handle urban runabout duties every day of the week.

It’s this duality that struck me the most. I would happily live with the Lexus LBX Morizo RR. 

If you need a bit of space, maybe look elsewhere. But if you’re passionate about dynamic driving, and value comfort and a premium experience, this little rocket is hard to beat.

Note: CarsGuide attended this event as a guest of the manufacturer, with accommodation and meals provided.

The fact this is Australia’s cheapest SUV is a massive feat for the Indian brand. It also has so much standard kit so this is even more surprising.

In many ways the XUV 3XO is better to drive than its rivals. The three-cylinder turbo engine has plenty of charm and moves this car along with ease, the car feels confident and composed out on the open road, and there aren’t any bings and bongs from intrusive safety systems.

However, things aren’t perfect. I wish the steering column offered reach adjustment, the steering feel wasn’t so inconsistent and the lane-keep assist wasn’t so hands-on.

If you can overlook these quibbles, this tiny Mahindra is an outstanding value buy if you’re considering a first new car.

Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.

The regular LBX is a spunky little car with a lot of road presence. I’ve been a fan of the exterior design since first seeing one in the metal. Short overhangs, nuggety proportions, well designed tail-lights and a pert rear end - it all works for me.

For the Morizo RR, Lexus has wisely exercised some restraint when it comes to exterior flourishes. It is nowhere near as wildly styled as the Yaris GR, for example. And that makes sense. This is, after all, a Lexus. 

It’s a smart move, too. It’s subtle but still has intent. 

The Morizo RR gains styling tweaks unique to the grade including 19-inch forged aluminium wheels, red brake calipers, a different front and rear bumper design, a rear spoiler, air intakes front and rear and a dual exhaust.

Inside, the main differences are the inclusion of red stitching, sports seats, some unique inserts, and the use of synthetic suede on the centre console, dash and doors.

The LBX interior design is functional and premium with nice materials throughout. 

From outside it’s surprising just how small this SUV is. At just under four metres long, the XUV 3XO is shorter than a Mazda2, for example.

The reason for this is because in India there are tax breaks for vehicles under four metres long. The Ford EcoSport, sans the tailgate-mounted spare wheel, was another SUV that met this requirement.

As a result of being so short, this has made the rear overhang virtually non-existent. It’s a strange look, especially because the bonnet is so much longer.

Even though the XUV 3XO is based on the KGM Tivoli (formerly SsangYong Tivoli), which was briefly sold in Australia, you’d be hard-pressed to find visual similarities. The former looks more modern from the outside and has more visual interest with the chunky wheel-arch cladding and diamond motifs.

At the front it’s hard to not see the face of a sad panda. The LED headlights are big and plunge down the front fascia, giving it a droopy and sleepy appearance. It’s not helped by the thick black bar connecting them.

Around the side the diamond-cut alloy wheels are a nice touch, along with the contrast black-painted roof on this AX7L tester.

The rear end is a little on the flat side, though the badging is tasteful. I’m not a fan of the full-width LED light bar, however, as it’s an overdone design cue now.

Inside I appreciate the mix of both old-school and new-school. There are dual 10.25-inch screens ahead of the driver for the digital instrument cluster and touchscreen multimedia system, as well as plenty of physical buttons and knobs for shortcuts and the climate controls.

For such an affordable car I’m surprised how many soft-touch finishes there are in this car. In the AX7L you get an extended use of synthetic leather on the door cards and dashboard, which helps make for a pseudo-premium look and feel.

However, one of my biggest gripes with the XUV 3XO interior is the amount of glossy piano black. It’s on the dashboard, centre console, door cards and even the steering wheel.

This may look cool and slick when you pick the car up from the dealer, but it shows up dust quickly and then gets scratched when you try to wipe it clean. Our tester had fewer than 1000km on the odometer and the centre console was already scratched to the wazoo.

The LBX is a compact little SUV so if you’re after something to fit a family of four, look elsewhere. But if you don’t need the space, it’s a great city car.

Up front it’s easy to find the right driving position thanks to all of the adjustability of the seat and steering wheel.

Those sports seats are supportive and hug the body, but not too much as some of Lexus’ European rivals do. They’re also very comfortable - almost edging firm but never uncomfortable.

The Lexus multimedia system is functional and has an easy-to-navigate menu set-up, but lacks any pizzazz. Better graphics would help with engagement.

Storage wise, there’s a wireless charger slot at the bottom of the centre stack, a cupholder with a narrow slot for another device next to it, and a deep but narrow secure central storage bin with another cupholder.

You might not fit big bottles into the door bins as it’s pretty tight.

I wasn’t sure about Lexus’ one-touch interior and exterior door handles when they first rolled them out, but I now think it adds a classy point of difference to its rivals.

That second seating row is tight, especially for taller folk. I had just enough legroom (but plenty of toe room) sitting behind my 183cm (6'0") driving position, but I wouldn’t want to sit back there for a long road trip. Headroom, however, is ample. My noggin didn’t even scrape the headliner. You’d struggle to fit three adults back there but a couple of kids should be fine.

Amenities include a pair of USB-C ports and two map pockets, but the rear row lacks any adjustable air vents or a fold-down centre arm rest. And the bottle holders in the rear doors won’t fit much at all. 

The rear row folds 60/40 and if you need to haul lots of luggage or shopping, you’ll definitely need to lower that rear row because the boot is small.

Lexus says it can swallow 266 litres, which is tight. There’s no spare wheel of any kind, just a tyre repair kit.

Given this SUV is tiny, I’m blown away at how much interior space it has.

Up front both the seats are manually adjustable, which is to be expected at this price point. Despite this, they’re still comfortable and offer an elevated driving position which is something SUV buyers seek.

In front of the driver is a leather-wrapped steering wheel which feels nice in the hand. While it offers tilt adjustment, it disappointingly doesn’t have reach adjustment. This is frustrating if you’ve got long legs and short arms, like myself.

The 10.25-inch digital instrument cluster has an overall dark and minimal look, but you can cycle through a range of informative views. There’s even one that allows you to display a full-width map.

Moving across, the 10.25-inch touchscreen multimedia system appears to be snappy enough. I’ve experienced fewer glitches in this car than in previous Mahindras I’ve driven.

I like the physical shortcut buttons underneath the touchscreen because it allows you to jump around to key sub-menus a lot easier.

As standard there’s both wired and wireless Apple CarPlay and Android Auto connectivity. With my iPhone 15 Pro Max the connection was flawless and only dropped out during known interference points.

This AX7L spec comes with a seven-speaker Harman Kardon sound system which gets this tiny car booming. The subwoofer in the boot is so powerful it almost feels like overkill.

In terms of storage up front there are two cupholders, big door pockets with two bottle holders, a centre armrest and a cooled glovebox. There’s also a USB-A port, 65W USB-C port and a wireless charger.

Moving to the second row there’s a decent amount of space for adults to sit behind adults. You could easily fit two adults along the rear bench, though pushing it to three would get a little too squishy.

Second-row amenities include rear air vents, a USB-C port with a phone slot, as well as a fold-down armrest with cupholders.

At the back there’s a manual tailgate, which is to be expected at this price point, but finding the trigger to open it is a little tricky. It’s a small button that’s hidden away.

Once the tailgate is open, the amount of boot space on offer is generous. Mahindra claims there’s 364 litres with the rear seats upright.

While the loading lip is high, the boot area is deep and wide. Unfortunately there’s no cargo cover available as standard, which means you’ll need to be careful what you boot back there.

Under the boot floor there’s a space-saver spare wheel, which is fantastic peace of mind if you travel long distances away from tyre repair shops.

The Mahindra XUV 3XO is currently Australia’s cheapest SUV.

There’s a caveat, however, because this is thanks to an introductory pricing offer that ends on August 31.

Currently though, the XUV 3XO line-up starts at $23,490 drive-away for the AX5L and extends to $26,490 drive-away for the AX7L, as tested here.

After August 31 the drive-away asking price of both of these XUV 3XO variants is set to go up by $500. This will see it share the title of Australia’s cheapest SUV with the Chery Tiggo 4.

Despite the affordable asking price, Mahindra has packed a lot of standard kit. This includes 16-inch diamond-cut alloy wheels, 10.25-inch digital instrument cluster, 10.25-inch touchscreen multimedia system, wireless Apple CarPlay and Android Auto, six-speaker sound system, dual-zone climate control, electric park brake with auto-hold, keyless entry and push-button start, leather steering wheel and gear selector and black cloth upholstery.

For an extra $3000 in the AX7L you get a black-painted contrast roof, 17-inch diamond-cut alloy wheels, LED front fog lights, panoramic glass sunroof, seven-speaker Harman Kardon sound system, 65W USB-C charger, cooled glovebox, black synthetic leather upholstery, and synthetic leather on dashboard and door trims.

Powering the LBX Morizo RR is an excellent 1.6-litre turbocharged three-cylinder petrol engine, which is the same unit found in the Toyota GR Corolla and Yaris hot hatches.

The Lexus loses some power and torque compared with those models so the outputs are 206kW and 390Nm. The Toyota cousins offer 221kW/400Nm each.

This engine is paired with an eight-speed torque converter automatic transmission and it has electrically controlled all-wheel drive with a Torsen limited-slip differential.

You can race from zero to 100km/h in just 5.2 seconds.

All variants are powered by a 1.2-litre turbocharged three-cylinder petrol engine that produces 82kW of power and 200Nm of torque.

This is mated to an Aisin-sourced six-speed torque-converter automatic transmission with drive sent to the front wheels only.

While the hybrid versions of the LBX are known for their fuel efficiency, it’s less of a focus for the Morizo RR performance model.

It has an official combined (urban/extra-urban cycle) fuel figure of 9.2 litres per 100 kilometres, which is more than twice the figure of the hybrid.

CO2 emissions sit at 209g/km and the LBX has a 50-litre fuel tank. You will need to fill up on the expensive stuff though as the Morizo RR requires 98 RON fuel. Theoretical range between fills is around 540km.

Mahindra claims the XUV 3XO has a combined urban/extra-urban fuel consumption of 6.5L/100km.

During my testing, however, I achieved a real-world fuel consumption figure closer to 6.2L/100km, which is better than the claim.

All XUV 3XOs have a 42L fuel tank that Mahindra claims can take 91 RON regular unleaded petrol, but 95 RON premium unleaded petrol is recommended.

With my as-tested fuel consumption this means the theoretical driving range from a full tank of petrol is around 675km.

I had high expectations for the LBX Morizo RR and I’m pleased to say they were met.

What a phenomenally capable little car.

Lexus is at pains to point out that its mechanical cousins - the Toyota GR Corolla and Yaris - are motorsport bred and therefore more raw and hardcore.

The premium brand knows it needs to be able to attract new buyers with a car like this, while also satisfying its loyal base.

Lexus did this by building a hot hatch (okay, it’s an SUV) that you can easily live with day to day.

I spent an enjoyable few hours behind the wheel of the Morizo RR on a stunning Autumn day in Victoria’s Yarra Ranges driving on some incredible roads. The twists, bends, undulations and more showcased how tight this car is.

First up that engine is an absolute gem, and I don’t miss the extra kilowatts found in the Toyota models. There’s very little turbo lag and the LBX picks up pace quickly but in a focused, fun manner.

The engine note is also a delight to behold, especially when you push it hard. Although on coarse chip roads a fair bit of road noise creeps in, to the point that it's boomy.

The transmission is a perfect pairing for the engine, too, offering slick shifts without holding gears unnecessarily. I didn’t miss the manual box found in the Toyotas, either. But the paddle shifters and a true manual mode (it won’t shift unless you flick the paddle) adds to the experience.

The brakes are strong but not too pinchy and the steering is as sharp as you’d hope, while offering just enough weight. 

Then there’s the grip. The all-wheel drive system “automatically distributes the front-rear torque according to road conditions and grip”, according to Toyota.

That AWD grip always inspires confidence during dynamic driving in a car like this and the LBX sticks to the tarmac like nobody's business. Despite some damp sections of road higher up the ranges, no slip was detected. It feels glued to the road.

If that’s not enough, the Lexus surprises with its compliant and even comfortable ride quality. Many hot hatches (or hot SUVs) have a firm ride due to a chassis set-up geared to performance driving. 

Somehow Lexus has ensured the damping settings shield the occupants from the worst bumps. Only deep potholes make their presence felt.

And that’s the beauty of this car. It feels so beautifully engineered, with a clear focus on performance, but it’s not a brutal experience. You never feel like you could easily lose control in this thing. You can punt it into a tight bend and feel confident it will stay the course.

Behind the wheel, the Mahindra XUV 3XO feels refreshingly old-school.

The 1.2-litre turbocharged petrol engine does seem like it would be underpowered, but in practice it’s completely adequate. Peak torque comes on tap from 1500rpm so it doesn’t have to work too hard at all.

It’s fun hearing the noise the three-banger makes when under the boil. You don’t hear it much though because the revs are typically kept down low to minimise fuel consumption.

The key reason why this car feels old-school is the six-speed torque-converter automatic transmission. It’s nice to not drive an affordable everyday car that doesn’t have a continuously variable transmission (CVT) or dual-clutch automatic transmission as these can suck the life out of a car or be jerky.

The gear shifts in the Mahindra are sometimes docile, but are smooth and measured. It just operates like a regular car that doesn’t require you to rewire your brain to drive.

There are three drive modes to choose from. They’re hilariously called ‘Zip’, ‘Zap’ and ‘Zoom’. These correspond to Eco, Normal and Sport, respectively.

While I did eventually get used to driving in the ‘Zap’ mode, it felt a little snoozy at points, taking a beat or two to get the car accelerating with traffic. You can sidestep this with ‘Zoom’ which feels much more lively. If you activate cruise control or restart the car, though, it defaults back to ‘Zap’.

The XUV 3XO makes the most sense in the city where you’re able to use its tiny exterior dimensions to navigate tight urban carparks and narrow laneways with ease.

It almost became a challenge for myself to find the smallest parking spot I could slot this car into. As standard on this AX7L there are front and rear parking sensors, as well as a surround-view camera system.

Where this car is let down, however, is the steering feel. It’s incredibly light at low speeds and then as the speed builds it gets very heavy. So much so it feels like I’m getting an arm workout.

Unlike some of its rivals, there is still a semblance of feel through the steering wheel, but this drastic change from light to heavy steering weight is too stark. Somewhere in the middle would be nice please.

Something Mahindra is very good at is developing a comfortable suspension tune and this car is no different. It can tackle pimply urban road imperfections and speed bumps with no problems whatsoever.

Out on the open road this car surprised me. It feels like a much larger car than it actually is and doesn’t get blown around in the lane like small cars can.

The three-cylinder turbo-petrol engine remains confident at higher speeds, though if you frequently travel up hills the fuel consumption will skyrocket. There’s also a bit of road noise, which is to be expected when a car is this small.

For the most part the suspension does a fantastic job at rounding out road imperfections, but bigger bumps or potholes can unsettle the car. It’s not helped by the larger 17-inch alloy wheels.

Out in the twisties this tiny SUV is fairly agile. It’s not the sportiest thing out there by a vast degree, but it remains planted and solid even when pushed into harder corners.

Lastly, another point that makes this car feel old-school is the lack of obtrusive bings and bongs from the safety systems.

Sure the parking sensors can be a little over-the-top and the traffic sign recognition takes over the entire digital instrument cluster when it picks up a new speed limit, but having no driver attention monitor and intelligent speed limit assist is refreshing.

It’s not all perfect however as the lane-keep assist is too hands on for my liking. It activates from 60km/h and is quite overt in how it directs the car through bends.

The Mahindra XUV 3XO hasn’t been crash-tested by ANCAP just yet.

It was, however, tested by India’s less stringent Bharat NCAP testing authority in 2024 and received a five-star rating.

Standard safety equipment includes autonomous emergency braking (AEB), lane departure warning, lane-keep assist, lane centring, adaptive cruise control, traffic sign recognition, rear parking sensors and a reversing camera.

Stepping up to the AX7L gets you a surround-view camera, blind-spot view camera, and front parking sensors.

Notably absent from the entire range is rear cross-traffic alert, as well as a traditional blind-spot monitor that alerts you when a car is in your blind-spot.

There are two ISOFIX points on the two outboard rear seats, as well as three top-tether child seat anchorages across the rear bench.

Lexus covers the LBX Morizo RR with its five-year, unlimited kilometre warranty and capped-price servicing for five years at a cost of $695 a service.

The schedule for servicing is tight at every six months or 10,000km, whichever occurs first, so you’ll be at the dealership a bit with this one. These are the same servicing terms as the GR Corolla and Yaris.

Lexus’s 'Encore' owner benefits program includes some cool stuff, too, like a valet parking service at certain venues, and you can even swap your Lexus for a different model for a set amount of time with the On Demand service.

Lexus Encore also offers exclusive access to events and venues, as well as special offers at hotels and restaurants.

Like other current Mahindra models, the XUV 3XO is covered by a seven-year, 150,000km warranty with seven years of roadside assistance.

Logbook servicing is required every 12 months or 15,000km, whichever comes first, though the first service is required after 12 months or 10,000km.

The first seven services are capped-price and total $1994. This averages out to $284.85 per service.