What's the difference?
Volkswagen’s new-generation Multivan is the brand’s family-oriented bus, and having just been to its Australian launch the people mover feels more high-end and somehow more practical than ever. But something has changed and it’s only now that it feels as though the final piece of the Multivan puzzle has been found and this van is complete.
Volkswagen’s entire vehicle range is mind-bogglingly big. From hatchbacks, wagons and SUVs to vans and buses, they all have two things in common - a high-quality feel and practicality. The Multivan has always adhered to this theme, as well.
Now, the new-generation Multivan has arrived and it’s clear Volkswagen has stuck to the same recipe of premium and practical, but there’s been a big change in the way it drives thanks to the decision to stop building the van on a truck-like platform and start building it on one used for cars.
You can read more about this below or watch my reaction to piloting the Multivan in my video.
Keep reading for more on the new-gen Multivan.
Mahindra has long been known as a tractor brand and a maker of rugged utes and SUVs, but it’s now dipping its toe into Australia's light SUV segment.
The XUV 3XO marks a further shift in the Indian brand’s local focus from rural and regional to metropolitan.
This tiny SUV goes up against some stiff competition including the Chery Tiggo 4, Hyundai Venue and Kia Stonic, among others. However, the Indian-made SUV holds a specific title that’ll make it stand out among the crowd.
The Australian launch of the new generation Multivan was confined to the Life grade with the 2.0-litre diesel engine. Later in 2025 the Style grade will arrive bringing a hybrid powertrain and even more features. We’ll be able to test both more thoroughly once we have them in the CarsGuide garage.
From this first drive, however, it's clear that while slightly pricier than its Kia Carnival rival the new generation Multivan is more practical than ever, and now that it rides on a car platform, far better to drive.
Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.
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.
As with all Volkswagens the redesign of the new-gen Multivan is more about refining than redefining. Just like the Golf hatch which has kept its look through eight generations the Multivan is recognisable and familiar but new and modern looking, too.
Smoother lines, a more heavily raked windscreen and a flatter bonnet make for a cuter snub nose. The new Multivan is less boxy than before even though it is still a box on wheels, just a sleeker, more adorable one.
As mentioned, the Multivan comes in two lengths: the short wheelbase, which is 4973mm from the front bumper to the rear bumper, and the long wheelbase which is 5173mm long. Height for both is 1900mm.
Inside, the cabin is modern with large screens for media and driver instruments with a minimalist design to the dash, while the lack of a centre console frees up space. The sense of roominess is enhanced by daylight flooding in through oversized windows which can be taken a step further when combined with the optional panoramic (split panel) glass roof.
There are nine body colours to pick from including 'Candy White', 'Pure Grey', 'Reflex Silver Metallic', 'Copper Bronze Metallic', 'Deep Black Pearlescent', 'Energetic Orange Metallic', 'Medium Blue Metallic', 'Mono Silver Metallic' and 'Starlight Blue Metallic'.
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.
Practicality is the Multivan's greatest strength. Seven seats come standard and the rear five can be configured into numerous variations. If you like you could have those rear seats facing each other or you can just have a second row with a large boot area or you could have two in the middle row and two in the third row or whatever other variation you can think up. Yes, you can remove all five rear seats and now that they're 25 per cent lighter it’s easier to do so.
People space is excellent and at 189cm tall I found it possible to not only sit comfortably in the second row behind my driving position, but also behind that in the third row with plenty of leg and headroom.
An optional multi-functional table is also available and this can slide on rails from the third row all the way up to between the driver and front passenger.
Second row cabin storage is outstanding. You’ll find drawers under the seats big enough for a pair of shoes, hidey holes and cupholders everywhere, seat-back tray tables and gigantic door pockets.
Up front is a double glove box, a dash-top storage bin, more cupholders as well as a multitude of pockets and small storage holes for bits and pieces.
For devices there’s a wireless phone charger and four USB ports.
You’ll also find three-zone climate control with air vents throughout the cabin and dark-tinted glass for the side windows.
Finally, the power sliding rear side doors are huge and allow easy entry and exit to and from both rear rows.
Being able to leave the driver or front passenger’s seat and walk through to the second row is also handy and fun. Not while driving, of course, although it’s tempting.
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.
Volkswagen has launched the new Multivan in one grade to begin with called Life and it comes exclusively with a diesel engine. A Style grade will come later in 2025 to sit above it with a higher price but more features and different powertrain - likely a petrol-electric hybrid.
For now, though, the Life is here and there are two versions - a long one and a short one. Volkswagen calls them short wheelbase and long wheelbase but the truth is their wheelbases (the distance between the front and rear wheels) are identical. It’s the back area of the car which differs in length and it’s only 20cm - the length of the boot, basically.
But let’s go with Volkswagen’s choice of words. The Life in short wheelbase form lists for $75,990 and the long wheelbase is $3000 more at $78,990, both before on-road costs.
Standard features on the Life include LED headlights, 17-inch alloy wheels, power sliding rear doors and power tailgate, a 10-inch media screen and 10.25-inch digital driver’s display, three-zone climate control, push-button start and eight-speaker audio plus wireless Apple CarPlay and Android Auto. Seven seats are standard, too.
The Mahindra XUV 3XO is currently Australia’s cheapest SUV.
There’s a caveat, however, because this is thanks to an introductory pricing offer that ends on August 31.
Currently though, the XUV 3XO line-up starts at $23,490 drive-away for the AX5L and extends to $26,490 drive-away for the AX7L, as tested here.
After August 31 the drive-away asking price of both of these XUV 3XO variants is set to go up by $500. This will see it share the title of Australia’s cheapest SUV with the Chery Tiggo 4.
Despite the affordable asking price, Mahindra has packed a lot of standard kit. This includes 16-inch diamond-cut alloy wheels, 10.25-inch digital instrument cluster, 10.25-inch touchscreen multimedia system, wireless Apple CarPlay and Android Auto, six-speaker sound system, dual-zone climate control, electric park brake with auto-hold, keyless entry and push-button start, leather steering wheel and gear selector and black cloth upholstery.
For an extra $3000 in the AX7L you get a black-painted contrast roof, 17-inch diamond-cut alloy wheels, LED front fog lights, panoramic glass sunroof, seven-speaker Harman Kardon sound system, 65W USB-C charger, cooled glovebox, black synthetic leather upholstery, and synthetic leather on dashboard and door trims.
At the moment there’s just the one grade of Multivan, the Life, and it's powered by a 2.0-litre four-cylinder diesel making 110kW and 360Nm. Transmission is a seven-speed dual-clutch automatic which sends drive to the front wheels.
Coming later in 2025 will be a petrol-electric variant but it will only be available in a more premium Style grade.
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.
Volkswagen says that after a combination of open and urban roads the Multivan Life should use 6.4L/100km. While on the launch the trip computer was recording an average of about 8.5L/100km, but we’ll assess fuel efficiency again when this VW comes into the CarsGuide road test garage.
In theory, if you do use 6.4L/100km, the Multivan's 80-litre tank should give you 1250km of range.
The score for efficiency looks quite low here and that's because without having driven the Style grade and the hybrid powertrain all we have to go by currently is the diesel.
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 missing piece of the Multivan puzzle for me has been the way it drives. Past versions have been less 'car-like' than rivals like the Kia Carnival. It felt like a commercial van to drive, because essentially it was. But that's been fixed.
One of the biggest changes to this new-generation Multivan is the platform on which it's built. Volkswagen has decided to swap the truck-like platform from the past for the 'MQB' platform which underpins vehicles such as the Golf and Tiguan.
Having spent a few hours driving this new generation Multivan around some great country roads during the launch I can testify that not only is the ride comfortable and composed but this van handles way better than you might imagine.
While the Multivan is in no way a sports car, good handling adds to the fun factor. It's easy to drive with light, accurate and direct steering, good acceleration and smooth gear changes from the transmission, great pedal feel under your feet and superb visibility from the high seating position and oversized windows all around.
That said, I enjoyed driving the previous generation Multivan. I loved its fun and easy piloting factor and the change in platform for this new-gen model makes the experience even more pleasurable.
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.
Volkswagen's Multivan scored the maximum five-star ANCAP rating under 2022 criteria (tested by Euro NCAP). Safety tech includes AEB, lane keeping assistance, rear cross-traffic alert, blind-spot warning, front and rear parking sensors and emergency assistance.
Importantly, side curtain airbags extend to cover all three rows; there's also a centre airbag between the driver and front passenger.
A pleasant surprise was finding how non-intrusive a lot of the safety tech onboard the Multivan is. While there's steering assistance there are no annoying alarms and bells as you'll find in other vehicles. In trying to focus your attention on the road they only distract you further.
The Mahindra XUV 3XO hasn’t been crash-tested by ANCAP just yet.
It was, however, tested by India’s less stringent Bharat NCAP testing authority in 2024 and received a five-star rating.
Standard safety equipment includes autonomous emergency braking (AEB), lane departure warning, lane-keep assist, lane centring, adaptive cruise control, traffic sign recognition, rear parking sensors and a reversing camera.
Stepping up to the AX7L gets you a surround-view camera, blind-spot view camera, and front parking sensors.
Notably absent from the entire range is rear cross-traffic alert, as well as a traditional blind-spot monitor that alerts you when a car is in your blind-spot.
There are two ISOFIX points on the two outboard rear seats, as well as three top-tether child seat anchorages across the rear bench.
The Multivan is covered by Volkswagen’s five year/unlimited kilometre warranty.
Servicing is recommended every 15,000km or annually and will cost you between about $600-800 a year.
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.