What's the difference?
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.
Back in 2022 a friend asked me if they should buy the then-new BYD Atto 3. My advice was to avoid such a new brand, because despite positive first impressions of the electric SUV I couldn’t comment with any certainty on the long-term prospects for BYD.
Well, fast forward to 2026 and things could not be more different. No brand exemplifies the seismic shift in the local car industry more than BYD.
It has emerged not only as the clear leader of the pack from the Chinese car brands, but has done so by taking risks and offering some unusual products. This new Atto 3 Evo is a prime example of that, because while it looks almost-identical to the old model, it has huge changes underneath.
When I say ‘huge’ I mean major upgrades like all-new, 800-volt underpinnings, bigger batteries and even a switch to rear-wheel drive - at least for one model.
BYD is selling one model, with the same name but two very different powertrains and layouts. It highlights the radical changes brought on by the electric revolution in the car industry and demonstrates the flexibility of these platforms compared to internal combustion engine (ICE) vehicles.
And also explains why BYD is no longer just a newcomer with an uncertain future but rather a well-established member of the mainstream market.
But would I recommend buying this new Atto 3 Evo? Read on…
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.
So, would I recommend this new Atto 3 Evo to my friend, or indeed anyone in the market for a mid-size electric SUV?
While it may look largely the same as it did back in 2022, the Atto 3 is now a far more compelling proposition than it was then. Certainly BYD has established itself in the market and that means there is more certainty for buyers.
But this new Atto 3 Premium is a big leap forward when it comes to the driving experience. And while that’s not likely to be a huge factor for most mid-size electric SUV buyers, given the price has only crept up marginally (by modern standards) it remains competitively positioned.
For context, the Leapmotor C10 is another mid-size, rear-wheel drive electric SUV from China and it is even more expensive than the Atto 3 and is, to be blunt, nowhere near as good.
If BYD continues to produce cars this good there’s no reason to believe it won’t be a major player for years to come.
Note: CarsGuide attended this event as a guest of the manufacturer with accommodation and meals provided.