Mahindra SUV to take on X240?

Indian manufacturer Mahindra has made its debut in the hotly contested mid-sized SUV market with an unbeaten kit-for-money value package in its XUV500. And the company plans to embrace an increasingly popular formula by following it up with an even cheaper, reduced spec model in the next few months.

Although it’s the world’s largest tractor maker – its well established brands all over the world include International Harvester – Mahindra is virtually an unknown quantity in the local consumer market. The company’s Pik-Up ute has been on sale here since 2007, but that’s more been the work of local dealer Tynan rather than the factory, albeit with Mahindra’s help.

The XUV500 is an altogether different product however. The company has entered the Australian market in its own right with a mid-sized tilt at the likes of Honda’s CRV, Hyundai’s ix35, Holden’s Captiva and Toyota’s RAV4.

In coming up with what it dubs its first genuinely global platform, the company has ditched its old separate-chassis formula in favour of a lightweight monocoque body. It’s a clean sheet design, researched with input from markets on every continent and developed with help from, among a raft of others, big names like Lotus, Bosch and ubiquitous UK engineering giant Ricardo.

The company launched the XUV500 in Sydney last week using a formula increasingly popular for new players in established market segments. Namely, go in hard on toys for the money to mitigate uncertainty surrounding the brand. The initial offering comes loaded with gear for a high-rider with a sub-$30K starting price. For $29,990 in FWD or $32,990 in AWD form, buyers get a kit list extending to third-row kiddie-seats, swivelling xenon projector headlights, an electric tailgate and lockable automatic 4WD with hill descent control. Minor niceties include a cooled centre box, folding wing mirrors, a flip-down wide-vision mirror and side-window extensions for the sun-visors. The company is still working on readying what will be standard sat-nav – all current specs come nav-ready.

At launch, the options list was zero, although it will in the near future extend to a rear-view camera.

Asked about future options lists and platform variation, Mahindra executives said the short term plan is to spec the XUV500 down rather than up. “Although it’s too early yet to talk about pricing and precise specs,” global product and marketing head Satish Karandikar told motoring.com.au at the launch. “But yes, expect an even more affordable version in the near future.”

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