Mahindra Xuv 3Xo vs Cupra Formentor

What's the difference?

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 Cupra Formentor VZe Tribe Edition offers some great luxury features and is coupled with a plug-in hybrid powertrain that should entice those wanting something more efficient than the standard petrol grade. It's peak efficiency is only available with a fair amount of charging commitment, though, and the driving comfort isn’t always the best but its fun and looks hot. The price point also makes it appealing compared to its rivals.

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 Cupra Formentor sounds like a Transformers name and if it were one, it’d be a Decepticon, for sure. It’s way too sharply styled and sexy to be a good guy. 

The special-edition model sees it paired with black and copper 19-inch alloy wheels and every design aspect doubles down on its sports-car presence from the crisp pleating across the body, to the twin exhausts and shapely grille. And this sporty presence is what its rivals lack.

Head inside and you'll notice the biggest change from the standard VZe model are the sport bucket seats in the front and the blue leather upholstery that has been liberally applied across the cabin.

The dashboard features gorgeous copper accents and contrasting stitching while being headlined with large tech screens that immediately catch your eye.

The interior has a killer design but it's not one you'd call plush as the edges and surfaces are as sharp as they look.

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.

For something that leans more towards a sports car than SUV in its styling, the cabin is still fairly practical when it comes to space and access.

Front occupants enjoy the best of each, though, and it's easy enough for a taller driver to get into a comfortable position.

The rear row offers excellent headroom but the legroom may be cramped for a tall passenger. It's best to think of the car as a four-seater as the middle armrest won't go down when there is a car seat installed.

In terms of seat comfort, fatigue will set in early on a long trip for front rowers as they are decidedly hard under the butt but the padding is a lot better in the rear row.

Overall, storage options and amenities are great throughout the car with the tri-zone climate control, heated front seats and steering wheel functions giving a premium cabin experience.

The glove box is extra large and can easily fit a small handbag and a manual while the middle console is on the small side. There are four cupholders and drink bottle holders (4/4) but the front cupholders need to be spaced out more to accommodate two cups properly. A few loose coffee lids were had!

In the rear you also get two map pockets and the boot has 345L of capacity available which is on the tiny side for a medium SUV! However, the wide boot aperture tricks you into thinking it’s bigger and the powered tailgate is always a handy feature.

Technology looks great but the multimedia system is finicky to use and one that takes a while to get used to. At first it's difficult to recognise what you have to touch to access the different menus available but the screen is responsive and the graphics are clear.

The built-in satellite navigation is easy to use, and the Tribe Edition also has wired/wireless Apple CarPlay and Android Auto, four USB-C ports, a wireless charging pad and a 12-volt socket.

There are usually three variants available for the Formentor; the base V petrol model, the mid-spec VZe plug-in hybrid and the range-topping VZx petrol.

The Tribe Edition pairs the plug-in hybrid powertrain with some of the features you get in the VZx, making it technically sit right below the top model, despite being $2200 more expensive at $67,990 MSRP.

Yet still it offers great value compared to its luxury rivals, the Lexus NX350h Luxury Hybrid which sits at $71,600 MSRP and the Peugeot 3008 GT Sport Plug-in hybrid which starts at $82,915 MSRP, without feeling like the poor cousin.

For a $3K price hike over the standard VZe model, you enjoy heated front seats, sport bucket front seats, 'Petrol Blue' leather upholstery throughout the cabin, black and copper 19-inch alloy wheels, a black headliner, a 360-degree view camera and a powered drivers seat with memory and lumbar function.

Other standard equipment includes keyless entry and start, powered tailgate, heated steering wheel, dusk-sensing LED headlights, rain-sensing wipers, auto-start/stop function and a tyre repair kit and inflator.

Technology looks top-tier with the 12-inch touchscreen multimedia system with built-in satellite navigation, 10.25-inch digital instrument cluster, tri-zone climate control, wired and wireless Apple CarPlay/Android Auto, four USB-C ports, Bluetooth, AM/FM radio, digital radio and a nine-speaker Harman Kardon sound system.

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.

The VZe Tribe Edition is a plug-in hybrid that has an electric motor that produces up to 85kW/330Nm. This is paired with a 1.4L four-cylinder turbo-petrol engine. Together, they produce outputs of up to 180kW and 400Nm.

However, once the lithium-ion battery is depleted, those figures drop to 110kW/250Nm and you notice the difference on the open road. 

The Tribe has a smooth six-speed automatic transmission and can do a 0-100km/h sprint in 7.0-seconds. Not crazy fast but still fun.

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.

Like all plug-in hybrids, you get the best efficiency if you recharge the Tribe often. If you want to get close to the official combined (urban/extra-urban) fuel cycle figure of 1.9L/100km you need to charge it every single time you use it.

Following this procedure over 347km of a mix of open and city driving, saw the real-world usage pop out at 2.3L/100km, which is outstanding.

However, the second half of the week saw 336km travelled and no recharge and the real-world usage stepped up considerably to 6.0L.

With its 40L fuel tank, you have a theoretical driving range of up to 2105km but expect less in real-world conditions. Worth noting Cupra recommends a minimum 95 RON unleaded petrol for this model.

The Tribe has a lithium-ion battery with a usable 10.9kWh capacity and the claimed pure EV range is up to 58km, as well as, a claimed 14.1kWh energy consumption figure.

Over my week with it, the consumption hovered around 22.8kWh/100km when cruising on the highway going 100km/h.

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 VZe Tribe Edition is happiest in the city and when you have a full battery. This is when it feels the most responsive with its power delivery. In the city, it’s quick and sure-footed. 

However, once that battery hits empty and you’re on the open road, the power is there but it stops feeling as fun.

The firm steering keeps it nimble and the driver's cockpit makes you feel well connected with what the car is doing but the ride comfort is like the design, not what you'd call plush.

The suspension is firm and you feel every bump in the road. Road and wind noise are also pretty high and in general, you feel a bit weary at the end of longer trips.

The visibility is good despite having narrow windows but a car seat or passenger in the back seat compromises the rear view vision. 

The Formentor shines in a tight car park with its 10.7m turning circle and compact proportions. The 360-degree view camera system is also most welcome but the quality of the feed is reflective of the grade level.

The Formentor has a maximum five-star ANCAP safety rating from testing done in 2021 and now features 10 airbags including side chest bags for the rear row and a front centre airbag as standard.

Other standard equipment includes blind-spot monitoring, driver monitoring, tyre-pressure monitoring, LED DRLs, front and rear fog lights, forward collision warning, rear cross-traffic alert, lane departure alert, lane keeping aid, side exit assist, adaptive cruise control, park assist, front and rear parking sensors and a 360-degree view camera system.

The Formentor has AEB with car, pedestrian and cyclist detection and is operational from 5.0-250km/h. The Formentor also has two ISOFIX child seat mounts and three top tethers but the rear seat is only wide enough for two child seats.

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.

The Formentor has a five-year/unlimited km warranty but it’s becoming more common to see longer warranty periods being offered now.

You can pre-purchase a three- or five-year servicing program. The three-year program costs a flat $990, averaging $330 per service. The five-year option averages costs $1990, averaging $398 per service which is reasonable for the class.

Servicing intervals are good at every 12-months or 15,000km, whichever occurs first.