Mahindra XUV 3XO vs Mazda 2

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.

While Mazda's insistence that the Mazda2 is a 'first-car' could be very limited by the incomes of most teenagers or early-20s city-dwellers, the starting price being close enough to $20,000 for a dynamically enjoyable and convenient small car isn't to be scoffed at.

The new styling of the Mazda2 is well executed, and as an alternative to small SUVs (which continue to become more popular) it's a sensible option, especially considering its efficiency and ease of use.

The lower specifications in the range are probably the best in terms of value, as even the features on the higher grades aren't groundbreaking, and the Pure SP definitely exudes the most style cred.

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.

Aside from the Pure SP, the Mazda2's styling changes are subtle. Mazda's design team aimed to move the model's looks slightly away from the previous ‘premium' chrome-adorned look to a sportier and more ‘aggressive' style.

A redesigned front bumper and mesh grille, with the rear's nip and tuck being more subtle, don't need to do much to keep the hatchback looking fresh. Despite being almost a decade old, the Mazda2 looks, to some extent, like it could be a new generation.

The Pure SP in particular is a highlight, with the blocked grille evoking some ‘electrification' vibes, while the coloured-accent treatment at the front and rear of most variants is a welcome addition for something different.

The range of differing wheels is also a plus point for the Mazda2 range, with each model having its own distinct characteristics.

Inside, the Pure SP also gets a stand-out panel across the dash in a lighter colour like mint, while others get different seat trims and colour accents in places like the vent surrounds.

New colours for the range are 'Aero Grey Metallic' and 'Air Stream Blue Metallic'.

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 Mazda2's interior is mostly unchanged through the facelift, with the car's overall dimensions unchanged and not affecting space for its occupants.

Up front, the two seats are comfortable for adults and arm, shoulder, and head room is ample.

Storage space for drinks, phones, or small bags and wallets is sufficient, though not quite road-trip-worthy.

In the rear seats, adults will find enough space to be comfortable for short trips but might get a little restless after a while.

Headroom when sitting upright is tight for anyone around 182cm (six-feet) tall, and a lack of armrest and little storage save for the doors means loose items will be joining occupants on the seat or sitting on the floor.

The Mazda2 has a claimed 250 litres of luggage space in the boot, which is fine for a small hatchback, but short of rivals like the Toyota Yaris' 270L.

Mazda has managed to keep pricing for its entry model relatively low for the segment. In fact, the base Pure in manual form starts from $22,410, before on-roads, and the auto is only $2000 more.

That means at a time when the Toyota Yaris is starting to look more expensive than its historic ‘cheap and cheerful' image allows, Mazda is pushing the Mazda2 to be slightly more premium while keeping its price competitive.

Standard features for the range, which start in the Pure variant, include a 7.0-inch touchscreen with Apple CarPlay and Android Auto capability, plus auto headlights and windscreen wipers.

The Pure SP, which starts at $25,210, gains a different styling kit that adds a body-coloured front panel to the grille, plus a carbon-look roof in vinyl. It also gains the ‘shark-fin' roof aerial.

The Evolve, which starts from $25,910, gains LED DRLs, with the mesh grille replacing the SP's block colour panel.

Its upholstery gets red stitching, plus it's also got a couple more tech additions with Mazda's active head-up driver display, traffic sign recognition and satellite navigation.

Finally, there's the top-spec GT, from $27,610, which gains unique aero-inspired 16-inch alloy wheels, and a set of black leather-upholstered seats with synthetic suede and red trim.

A sedan is available in Pure or GT specification at the same prices and with the same features as the hatch, though you can't get a Pure sedan in manual - that's available in the hatch only.

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.

Mazda's ‘SkyActiv-G' 1.5 litre four-cylinder petrol engine is the unit used for six-speed manual and automatic models, but outputs vary slightly.

Manual cars produce 82kW and 144Nm, while autos deliver a slightly lower 81kW and 142Nm, both driving the front wheels only.

It's pretty much the same engine you used to find in an entry-grade MX-5, just with less power.

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.

Improved fuel efficiency and lower CO2 emissions come thanks to the automatic's slight drop in power and torque.

Mazda claims a 5.0L/100 km rating for the automatic Mazda2, which is down by 0.3L/100km over the previous version, but the manual's unchanged engine tune burns through the petrol at 5.4L/100km.

Filling the 44-litre tank with at least 91RON or even E10 is fine, and with its auto variant's efficiency rating means the Mazda2 technically has a theoretical range of 880km.

Comparatively the Mazda2 scores well here, the more expensive Toyota Yaris comes with a 4.8L/100km consumption claim with its CVT auto. A Suzuki Swift, with a smaller 1.2-litre engine, also has a 4.8L/100km rating.

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.

Our drive loop for the Mazda2's launch included a mix of urban, highway, and rural driving, with varying road quality and conditions.

Fortunately for the little hatchback, it handled everything well or at least at a passing mark, with only a couple of small shortcomings that are common in the segment.

The Mazda2 is a joy to drive in most circumstances, with a lively but confidence-inspiring chassis and controls that give a connected feel to the road.

At low speeds, the Mazda2's relatively low power isn't noticeable, with the gearbox getting things moving at a reasonable pace and the engine is responsive enough with the traditional gearbox helping it along.

It's worth noting that for ultimate control over the drivetrain, Mazda still offers a six-speed manual transmission in the entry-grade Pure, and it's a gem.

Smooth, sporty shifts and well thought out gear ratios mean the manual is easy to handle even in traffic, and the clutch has a forgiving bite point. The 'i-Stop' stop/start system works with the three-pedal car, too, as does cruise control.

In terms of handling and comfort, the Mazda2 is a little shaken by large bumps, though some of the rough surfaces on our test loop were particularly brutal.

Similarly, when pushed hard to conquer steep hills the 1.5-litre engine becomes a little harsh.

On twisty sections the Mazda2 (especially in manual form) provides ample fun while remaining predictable in its steering and chassis feedback, rather than feeling loose.

The updated Mazda2 is equipped with the brand's suite of 'i-Activsense' safety tech, which includes 'Smart City Brake Support' for operating forward and reverse, blind-spot monitoring and rear cross-traffic alert.

The Evolve and GT model grades are fitted with traffic sign recognition.

The GT model grade comes fitted with front parking sensors and a set of surround-view parking cameras.

The Mazda2 also features six SRS airbags to cover the driver and front passenger, side airbags, and curtain airbags front and rear. It also has ISOFIX anchor points and top tethers for child seats in the rear.

Mazda isn't going to put the Mazda2 up for a new crash test rating by ANCAP, with the brand telling us the new safety additions bring the car's safety up to date, though its original rating from 2015 was a maximum five stars.

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.

Mazda offers a five-year/unlimited-kilometre warranty across the range, under which the Mazda2 will be covered. That's on par for the market, although some rivals, like the MG3, come with a seven-year term.

Scheduled servicing costs for the first seven workshop visits range from $334 to $587, and are undertaken every 12 months or 15,000km (whichever comes first).