Lexus NX300 vs Mahindra XUV3XO

What's the difference?

The Lexus NX 300h F Sport is both a comfortable and luxurious family hauler that is held back by just a few things.

Of course, gripes like the underwhelming dynamics might not be an issue for all, but the less-than-stellar fuel economy (for a hybrid, at least), disappointing practicality and fiddly multimedia will affect all potential buyers.

However, this is balanced out by loads of equipment and premium appointments for a reasonable price, which should put the Lexus NX on your shopping list if you are keen for an inner-city premium SUV cruiser.

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.

Lexus might have been known for drab and dowdy styling in the past, but the NX’s sharp aesthetic is head turning and attention grabbing in all the right ways.

Though the NX first hit Australian showrooms in 2014, after six years we reckon it wouldn’t look out of place strutting down a catwalk, and can easily hold its own in the design department against the likes of the Audi Q5, BMW X3 and Mercedes-Benz GLC.

From the front, you can’t miss the trademark Lexus spindle grille, which, with its trapezoidal shape, gives the illusion of a wider and more aggressive car.

The high-set, slender headlights also gives the NX a wide stance, while the sweeping daytime running lights and sharp bumper design give the impression that the NX is cutting through water.

In profile, the NX is characterised by a strong shoulder line, chiselled lower doors and narrow glasshouse, while the black plastic wheelarch cladding hints at its SUV status.

The black trim detailing on the tail-lights almost make it look like the NX has narrowing cartoon eyes from the rear, but the subtle diffuser and large bumper soften its look a little.

If you can’t tell, we dig the aesthetics of the NX, especially the subtle exterior features such as crystal-like front foglights and the unique side mirror design.

Step inside and those neat little design touches continue.

From the almost folded fabric-like design of the door trims to the soft-touch surfaces throughout, the NX’s cabin oozes luxury, class and quality.

The centre stack shape mirrors the front grille’s trapezoid shape, while all the buttons and switchgear have a nice heft and weight to them, and are laid out in an easy-to-use, ergonomic fashion.

Sure, look a bit closer and you might see some carryover items from lower-end Toyota models, such as the cruise control stalk but, be honest, if we didn’t point it out, would you have even noticed?

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.

Measuring 4660mm long, 1870mm wide, 1645mm tall and with a 2600mm wheelbase, the NX puts it foot firmly into the mid-size SUV class.

Front occupants can easily get comfortable thanks to seats with a wide breadth of adjustment, while drivers also get a telescoping steering wheel that automatically raises when the car is turned off for easier ingress/egress.

Generous door bins up front will swallow large water bottles and any other paraphernalia, while two deep cupholders are found between the driver and front passengers.

If you want to tuck any items out of sight though, the glovebox and centre console bin will do the job, but there is also a hidden compartment where the driver’s touchpad palm rest.

Lift up the flap and your precious valuables can be hidden away, but look underneath the flap and it doubles as a handheld mirror to check you don’t have any food in your teeth before a date.

The outer two second-row seats offer ample room for six-foot-tall passengers, and – even with the front seats in our preferred position – there is plenty of legroom in the back.

Like most vehicles, the middle seat is a bit compromised, but in the NX it feels especially narrow and uncomfortable.

This isn’t helped by the middle seat’s seat belt, which comes down from the roof and intrudes well into the backrest of the neighbouring seat when not in use.

It makes loading the NX full of passengers tricky as there is a bit of shuffling around to get all the belts in place and passengers comfortable.

Our advice? Use the NX as a four-seater and just fold down the centre armrest, which also exposes two cupholders, for extra comfort.

Other rear seat amenities include air vents and storage pockets in the doors, the latter of which will accommodate water bottles or small items.

Open the boot and the NX will swallow 475 litres of volume, which can expand to 1520L with the rear seats folded down.

Boot space is down on its rivals, with all of the German models offering at least 550L of volume.

In real-world terms, this means the NX’s boot won’t close with a large- and medium-sized suitcase sat side-by-side, but has no problem with smaller cases.

Boot space might be lacking in the NX, but the hybrid system’s batteries have to go somewhere, and at least Lexus offers up two big bag books and tie-down points.

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.

Propelling the Lexus NX 300h F Sport is a petrol-electric mild-hybrid powertrain, combining a 114kW/210Nm 2.5-litre naturally aspirated four-cylinder petrol engine with two electric motors – 105kW/270Nm unit for the front axle and a 50kW/139Nm unit for the rear wheels.

The total system output is measured at 147kW, which is sent to all four wheels in our test var via a continuously variable automatic transmission (CVT).

The zero-to-100km/h acceleration takes 9.2 seconds thanks to a fairly hefty 1895kg kerb weight.

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.

Official fuel consumption figures for the Lexus NX 300h is 5.7/ litres per 100km, though we managed a 7.6L/100km figure in our week with the car.

Our driving consisted exclusively of inner-city driving for groceries and just two trips down the freeway upon collecting and returning the car due to Melbourne’s lockdown rules.

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.

Though the Lexus NX might look sporty and dynamic from the outside, don’t be mistaken into thinking Lexus’ mid-size SUV is anything other than a comfy cruiser.

Steering remains light and lifeless in its default ‘Nomal’ drive mode, but even in ‘Sport S’ and ‘Sport S+’, weighting feels artificial and numb.

What this means is that the NX 300h F Sport is a joy to manoeuvre around town at low speeds, but is found lacking when the speedo climbs and the roads get a bit twisty.

Likewise, a stab of the throttle is met with a spike in revs and engine noise as the powertrain switches from its electric motor to internal combustion engine, but the expected thrust-burst never comes.

CVTs are generally tuned for better fuel economy, not a sporting drive, so it makes sense that the NX is a little more hesitant and lethargic to get up to speed, but the transmission does suffer from that ‘elastic’ feel where it can be slow to ‘shift up’ if it thinks you are wanting a sporty drive.

However, these shortcomings are especially evident when stacking it up next to the new Toyota RAV4 hybrid.

The NX is underpinned by Toyota’s MC platform, shared with the old RAV4, whereas the fifth-generation mid-size SUV that launched in 2019 is updated with a TNGA platform.

Much of our aforementioned criticisms in driving dynamics and snoozy drivetrain are fixed, or at least alleviated, in the latest Toyota RAV4, so here’s hoping the next-gen NX rumoured to break cover soon will be a welcomed step forward.

And while the current Lexus NX is certainly not the last world in SUV driving dynamics, it’s not trying to be.

As a daily runabout for the family, the NX is comfortable and predictable – just what some families might be after.

The suspension does a great job at soaking up road imperfections and little bumps you might find on your journey, helped by the comfy seats and great interior sound insulation.

What is noticeable though, is overcoming large bumps or any change in elevation at speed, where the NX 300h’s hefty weight means it takes just a touch longer to get settled again.

The cabin also feels a bit fussy from the driver’s seat, with the multimedia especially being fiddly and hard to navigate when on the move.

We reckon a rotary controller like those found on a BMW, or even better multimedia software as seen with a Benz, could go a long way in fixing Lexus’ multimedia woes.

Having said that, the system is compatible with Android Auto, and is laid out well on the widescreen, so you could easily forgo the annoying touchpad and janky software for a better experience.

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.

Like all new Lexus vehicles, the NX 300h F Sport comes with a four-year/100,000km warranty, along with roadside assist over the same period. A six-year anti-corrosion is also part of the aftersales assurance package.

Scheduled service intervals are every 12 months/15,000km, whichever comes first.

The first three years/45,000km of scheduled servicing is capped at $495 for each annual service, which falls under the brand’s Encore service that also entails pickup and delivery of the NX, loan car, and wash and vacuum.

Lexus ownership also means owners will be access to exclusive events, dinners and drive days, as well as promotions from partner hotels.

Although servicing costs are relatively cheap for the first three years, Lexus’ four-year/100,000km lags behind luxury brand leaders Mercedes-Benz and Genesis, who both offer five-years/unlimited kilometre assurances.

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.