Mahindra XUV500 vs Audi Q3
What's the difference?

Mahindra XUV500

—

2018 price

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Audi Q3

$58,700 - $84,327

2026 price

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Summary

2018 Mahindra XUV500

2026 Audi Q3

By Andrew Chesterton

By Stephen Ottley

Safety Rating

Engine Type

Diesel Turbo 4, 2.2L

Turbo 4, 1.5L

Fuel Type

Diesel

Premium Unleaded Petrol

Fuel Efficiency

6.7L/100km (combined)

5.8L/100km (combined)

Seating

Likes

Cheap way into seven seats
Petrol/auto combination a winner
Hugely spacious third row

Stylish, premium looks
Well-integrated technology
Good active safety calibration

Dislikes

Underwhelming safety
Steering that requires plenty of guesswork
Cheap-feeling interior

No PHEV option (yet)
A few rattles in our test car
Small back seat

2018 Mahindra XUV500 Summary

Just in case attacking Australia's crowded SUV market with a virtually unheard of Indian brand wasn't a high enough hurdle to leap over, Mahindra had made its task even harder - think a Bollywood version of Mission Impossible - by launching its XUV500 SUV here with a diesel engine (which nobody wanted) and a manual gearbox (which few could even remember how to use).

Fortunately, it fixed one of those issues late in 2016, finally adding an automatic transmission to the line-up. And now, at long last, it's fixed the other.

This, then, is the petrol-powered XUV500 SUV. And, on paper at least, it's the most sense-making Mahindra to date.

For one, it's a ferociously cheap way into a new seven-seat SUV. For another, it's pretty well equipped, even from the base level. There's a long warranty, an equally long roadside assistance offering, and there's capped-price servicing, too.

So, should the mainstream SUV players be looking over their shoulders?

Spoiler alert: no.

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2026 Audi Q3 Summary

Replacing a popular model is fraught with danger. Existing customers will tell you they love it, while focus groups of non-customers will tell you why they hate it and sometimes carmakers get caught trying to appease both groups.

Sometimes they’ll make it too big or change too much in the search for more sales and ultimately end up removing the elements that made it popular in the first place.

Which is why Audi has been extra careful with some subtle evolution for this new-generation Q3 SUV and Sportback. This isn’t just a popular model for Audi Australia, it has been the best-selling model for the German brand for more than five years, so getting it wrong would be a disaster.

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Deep dive comparison

2018 Mahindra XUV500 2026 Audi Q3

Verdict

This petrol-powered and well-priced XUV500 W6 might mark Mahindra's most convincing effort at cracking Australia's congested SUV market, but we're still not completely convinced.

That said, it's certainly cheap, the ownership credentials stack up and it's a very comfortable way to transport seven people.

Verdict

So is this new Q3 good enough to remain Audi’s number one choice? In a word, yes.

Audi has resisted the temptation that some brands fall into by making too many changes to a proven sales performer. This new Q3 isn’t radically different from the old Q3, but it has improved in almost every way.

It isn’t different enough to widely expand its appeal to a new wave of customers, but there’s no reason it won’t remain Audi’s most popular choice for the foreseeable future.

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

Mahindra XUV500 vs Audi Q3 What's the difference?

Summary

Deep dive comparison

Verdict

Verdict

Mahindra XUV500 vs Audi Q3
What's the difference?