Mahindra Xuv 3Xo vs Kia Seltos

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.

Kia’s updated Seltos is more expensive than the previous version but it's better as well.

The entry grade no longer has hubcaps and gets alloy wheels, all grades have directional air vents in the second row, the jerky dual-clutch auto is gone and an excellent regular eight-speed auto has arrived, plus there’s more safety tech and modern displays screens.

What hasn’t changed is the Seltos’s size. It’s a big, small SUV, that’s easy to park in tight spaces but roomy inside even for tall, awkward humans like me. 

The sweet spot in the range is the Sport+ with the 1.6-litre engine, if only it had the LED headlights that only come on the GT-Line.

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

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.

This updated Seltos has had a few styling tweaks, too. The grille is taller and  there’s a new headlight design which on the GT-Line is stunning with its LED running lights.

The rear of the Seltos has been restyled as well, with a new tail-light design and again on the GT-Line there’s an LED strip which runs between them.

The Seltos is pretty big for a small SUV. At 4.4m long it’s bigger than a Hyundai Kona and a Honda HR-V and about the same size as a Nissan Qashqai and Corolla Cross.

What’s good about that is you’re getting more space inside with a package that’s still smallish on the outside.

If you think the Seltos’ look is familiar, then I agree. The Honda HR-V and Haval Jolion have very similar tail-light designs and the profile follows many of the same styling cues of the Toyota Corolla Cross.

To my eyes, though, I think the Seltos is the more refined looking of its peers with a more modern and interesting interior.

Speaking of which, keep in mind that the top-of-the-range GT-Line’s cabin is far more fancy than the interior of the entry grade S. The GT-line’s large double digital displays are impressive and the buttons around the shifter for seat heating and ventilation are replaced with blank plastic panels in the S. 

Hard plastic armrests were another of my gripes about the previous entry grade Seltos, too.

Still all cabins have a premium look even if the feel isn’t luxurious throughout on all grades. 

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.

Some small SUVs are seriously small, which might be fine for some, but if you’re hoping to also have enough space for passengers in the back seats, and a boot which can carry plenty of luggage then the Seltos is a good choice.

Even at 191cm tall I had more than enough room to sit behind my driving position with good headroom back there, too.

Cabin storage is also good with door pockets front and rear, and a deep centre console box. As for cupholders there are two up front on all grades, while the Sport+ and GT-Line get two more in the second row fold-down armrest.

Boot capacity depends on if you’ve requested a full-sized spare wheel or the space-saver spare. With the space-saver you’ll have more room at 469 litres, while the full-sized wheel under the boot floor will leave you with 433 litres. That’s still decent for the class.

The new Seltos has directional air vents for back seat passengers which is a win (motoring journalists had been complaining about the lack of them for years) and there are also two USB ports (Type-C) for the second row along with another two for those in the front, plus a 12V outlet.

The price of the Kia Seltos has increased by about $2000 across the range, but you are getting more in the way of features. Let me take you through the model line-up. 

There are four grades: the entry grade S, then the Sport, Sport+ and GT-Line. Those are all available with the 2.0-litre petrol engine and front-wheel drive.

The Sport+ and GT-Line can also be had with a more powerful engine which is a 1.6-litre turbo-petrol with all-wheel drive.

So, the list prices for the 2.0-litre engine start at $29,500 for the S, then step up to $32,700 for the Sport, $35,800 for the Sport+, and $41,500 for the GT-Line.

The 1.6-litre turbo engine is a more expensive proposition and in the Sport+ you’ll pay $39,300, and to pair it with the GT-Line grade you’ll need to hand over $44,900, before on-road costs.

Kia was also doing drive-away pricing at the launch of the new Seltos. So check with your dealership to ensure that the offer is still available.

Coming standard on the S grade for the first time are alloy wheels, they’re small at 16-inches but better than hubcaps, and there’s also roof rails.

Inside, there are cloth seats, an 8.0-inch media display, digital driver’s display, air-conditioning, wireless Apple CarPlay and wireless Android Auto.

The Sport grade adds 17-inch alloy wheels, auto headlights, a 10.25-inch media screen and matching 10.25-inch driver display, digital radio, sat nav, climate control, plus Apple CarPlay and Android Auto.

The Sport+ has all the Sport’s features but brings a proximity key with push-button start, privacy glass, power driver’s seat, synthetic leather upholstery and extra safety tech which we’ll get to soon.

The top-of-the-range GT-Line has all the Sport+ features but adds a power front passenger seat, heated and ventilated front seats, sunroof and a power tailgate.

The GT-Line also comes with the option of two-tone body paint - that is a black roof with 'Clear White' or 'Pluton Blue' body colours. Be advised that this combination is not available with the sun roof.  

The value is good, but I don’t agree with Kia’s decision to keep the LED headlights for the GT-Line only and leaving all other grades stuck with dim Halogen headlights.

Being able to seem clearly on dark Australian country roads at night shouldn’t be a luxury. Toyota offers LED headlights across the Corolla Cross range from the entry grade up.

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 Seltos range has two engines to choose from: a 2.0-litre four-cylinder petrol engine making 110kW/180Nm and a 1.6-litre turbo-petrol engine producing even more grunt at 146kW/265Nm.

The 2.0-litre engine comes with a CVT which is a type of automatic transmission and the 1.6-litre engine has an eight-speed auto.

CVT stands for Continuously Variable Transmission and some people (me included) find the droning they cause the engine to make to be annoying. They also come with a feeling of less acceleration. 

The good news is the eight-speed auto that comes with the 1.6-litre is a great transmission with smooth shifts and a sporty nature that matches the punchy engine. 

This eight-speed auto is welcome because it also replaces the jerky dual-clutch transmission that had been paired with the 1.6-litre engine in the previous Seltos.   

All-wheel drive is only available with the 1.6-litre engine while front-wheel drive comes solely with the 2.0-litre.

So, if you’re after great acceleration and better traction then the 1.6-litre is the way to go. If you’re not after a sporty driving experience then the 2.0-litre engine will suit you, and it costs less.

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.

The smaller engine actually uses more fuel, but not a great deal more. Kia says the 1.6-litre engine with all-wheel drive uses 7.4L/100km after a combination of open and urban roads. The 2.0-litre engine according to Kia will use half a litre less at 6.9L/100km.  

Both engines only need 'standard' 91 RON petrol, too - that’s the cheap one.

Where is the hybrid variant? Good question. The answer is, there isn’t one. And neither is one coming, I’ve asked. That’s disappointing considering the Corolla Cross comes with a hybrid version of each grade in its line-up.

It’s for this reason the Seltos range scores a lower mark for fuel efficiency.

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 Kia Seltos has two personalities. The laid back Seltos with a 2.0-litre engine and the enthusiastic sporty Seltos with the 1.6-litre engine.

Regardless of which Seltos you pick, the ride is comfortable, the handling is good, and the steering is excellent. 

Kia says it's worked to make the Seltos’s cabin more insulated from road noise, but having driven it on country roads for hours I think it could do with more sound dampening.

If you’re considering the Sport+ grade and are not sure if the $3500 premium for the 1.6-litre engine is worth it, my answer would be absolutely, if you can afford it.

That 1.6-litre turbo petrol is a great engine and the new eight-speed transmission is excellent. Even as a daily driver I think anybody would enjoy driving this version of the Seltos more, and for those who like sporty driving then it’s definitely the powerplant for you.

The Seltos has the maximum five-star ANCAP safety rating but that’s from 2019. Still, the advanced safety tech is excellent. All grades come with AEB, blind spot warning, lane keeping assistance and rear cross-traffic alert.

All grades also come with the rear occupant alert, which is great for sleep-deprived parents, and there’s also the safe exit feature which will let you and the kids know if a car or cyclist is approaching before you open the door and ruin everybody’s day.  

The Sport+ and GT-Line both come with AEB that works at intersections.

It’s good to see front and rear parking sensors standard across the range. 

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 Seltos is covered by Kia’s seven-year, unlimited-kilometre warranty. 

Servicing differs between the two engines.

A Seltos with a 1.6-litre engine needs to be serviced every 12 months or 10,000km and over seven years the average service cost comes to $497 per year.

A Seltos with the 2.0-litre engine needs to be serviced every 12 months or 15,000km and over seven years the average service costs comes to $434 per year.

Capped price servicing is good, but the prices can get higher than $600 for some visits.