Mahindra XUV700 2023 Review

First revealed almost two years ago in India, where it has notched up over 100,000 sales, and then confirmed for Australia in September 2021, the 2023 Mahindra XUV700 is now available via a local dealer network that will expand to 60 outlets across most capitals by the end of this year.

Two front-wheel drive variants of the seven-seat XUV700 – pronounced ‘XUV seven double-oh’ – are now on sale, with the entry-level AX7 grade priced at just $36,990 drive-away and the AX7L flagship priced at only $39,990 drive-away.

That makes the new XUV700 a lot pricier than the decade-old, diesel-powered, sub-$28K XUV500 it replaces, but it’s still Australia’s cheapest new seven-seat vehicle and significantly more affordable than three-row front-drive versions of the CR-V (from $40,900 drive-away) and Outlander (from $40,740 plus on-road costs), while the AWD-only three-row X-TRAIL starts at $39,790 plus ORCs.

Mahindra Australia says it has plenty of stock available for immediate delivery and hasn’t ruled out the release of additional variants in future – including a cheaper five-seater version and perhaps all-wheel drive and diesel power – but for now the XUV700 remains a 2WD seven-seater.

Like the new ladder-frame Scorpio off-road diesel SUV, the 2023 Mahindra XUV700 brings a well-proportioned and handsome new design punctuated by a bold grille bearing the brand’s new Twin Peaks logo.

It’s flanked by a pair of prominent wrap-around LED daytime running lights that make it look a bit like the Renault Koleos but clearly stamp it as part of the Mahindra family and a successor to the XUV500.

So both XUV700 variants look distinctive and both come with plenty of fruit as standard, including automatic LED headlights with cornering lamps, arrow-shaped LED tail-lights, 18-inch diamond-cut alloy wheels with 235/60 tyres and a huge panoramic ‘Skyroof’ glass sunroof measuring 870mm wide and 1360mm long, covering the first two rows of seats, plus flush-fitting door handles like only the Range Rover Evoque offers in this class.

Other standard equipment across the range includes white synthetic leather seat trim, which might not be all that family-friendly but could be joined by other interior colour options down the track, leather steering wheel and gearshift trim, a six-way power-adjustable driver’s seat with memory, fog lights, rain-sensing wipers, push-button starting, dual-zone climate-control, rear wiper/defogger, power windows with one-touch drive function, power-folding wing mirrors and Intelli Command Control infotainment selector.

However, only the top-spec variant comes with wireless phone charging, a 12-speaker 3D Sony sound system, electric ‘smart’ door handles, vanity mirror illumination and – strangely and disappointingly – a telescopic steering column, which means the entry-level XUV700 misses out on steering wheel reach adjustment.

Unlike the Scorpio, which won’t follow suit until its midlife update, the 2023 Mahindra XUV700 brings a full suite of active and passive safety features from launch, although some of them are not fitted at base level and the vehicle is yet to be tested by Australia’s independent vehicle safety body ANCAP.

Until then, it comes with a five-star safety rating under the less stringent Global NCAP regime.

That said, standard safety equipment across the range includes six airbags (dual front, front-side and full-length side curtain) and advanced driver assistance systems (ADAS) like autonomous emergency braking (AEB, between 10-110km/h), forward collision warning, lane keep assist, lane departure warning, Smart Pilot Assist, adaptive cruise control, traffic sign recognition and high beam assist.

Also standard in both variants is a reversing camera, tyre pressure monitoring, ISOFIX child seat anchors for the second-row outboard seats, post-collision braking, hill hold, hill descent control, roll stability control, electronic stability/traction control, brake assist and anti-lock brakes with electronic brake-force distribution.

But there’s no sign of rear cross traffic alert (rear AEB), attention monitoring or a front-centre airbag, and the base AX7 misses out on the top-shelf AX7L’s driver’s knee airbag, blind spot monitoring, stop-and-go function for the adaptive cruise, 360-degree surround view camera and electric park brake.

Both versions of the 2023 Mahindra XUV700 are fitted with Mahindra’s new Adrenox multimedia suite featuring dual 10.25-inch digital displays – a central infotainment touch-screen and a configurable driver’s instrument cluster – that are intuitively presented, pleasingly high-resolution and quick to react.

Also standard from base level is wired Apple CarPlay and Android Auto smartphone mirroring, Bluetooth hands-free audio, a six-speaker AM/FM stereo with Sound Staging, continuous digital video recording via SD card, and both USB-A and USB-C ports front and rear.

But there’s no native satellite navigation, no head-up display and no DAB+ digital radio.

A range of genuine accessories including a nudge bar and side steps are on offer for the XUV, which will be available in just five exterior paint colours: Everest White, Midnight Black, Dazzling Silver, Red Rage and the Electric Blue hero hue.

No capped-price servicing program has yet been announced for the XUV700, which has relatively short 12-month/10,000km service intervals, but it will be covered by Mahindra Australia’s generous seven-year/150,000km factory warranty including roadside assist.

Unlike in India, where diesel and all-wheel drive versions are available, Australia’s 2023 Mahindra XUV700 is powered exclusively by a new direct-injected mStallion 2.0-litre four-cylinder turbo-petrol engine, outputting 149.2kW of power at 5000rpm and 380Nm of torque over 1750-3000rpm via an Aisin six-speed automatic transmission as standard.

Other vital vehicle statistics include a kerb weight of 1829kg (1835kg for the AX7L), a GVM of 2357kg, GCM of 3857kg, braked towing capacity of 1500kg (750kg unbraked) and a turning circle of 11.5m.

Official combined fuel consumption for the 2023 Mahindra XUV700 is listed at 8.3L/100km, which is at least 0.5L/100km more than its direct rivals including the seven-seat Outlander 2WD (7.7L/100km), CR-V 2WD (7.3L/100km) and X-TRAIL AWD (7.8L/100km).

That said, the economy figure of the XUV700, which runs on standard 91 RON unleaded, appears pretty accurate in the real world or at least during our brief first drive on mostly flat roads including a freeway stint, so the 60-litre fuel tank should deliver a driving range of over 700km.

Behind the wheel on the road, the 2023 Mahindra XUV700 is light years ahead of the XUV500 it replaces and easily the best Mahindra we’ve driven.

The turbo-petrol engine is smooth, willing and refined even beyond 5000rpm, offering peak torque from 1750rpm and pairing well with the standard six-speed auto to deliver strong, seamless acceleration in most driving situations.

Mahindra doesn’t quote a 0-100km/h acceleration time, but says the XUV700 will hit 60km/h in less than five seconds, which is nothing to brag about but does feel brisk enough from a standing start.

All of the driver-assist functions work well and as intended, and can be seen doing their thing on the well-presented digital instrument cluster, although you have to dig into the menu system to disable the lane keeping system if you want to silence the persistent chiming as you approach lane markings.

Likewise, the body feels solid and well screwed together and the chassis well sorted – a clear beneficiary of more than a million kilometres of development testing, including over 50,000km in Australia and at Mahindra’s massive 454-acre SUV proving ground in India.

Much of that was spent fine-tuning 840 iterations of the XUV700’s frequency-selective dampers (FSD), which are attached to MacPherson struts up front and a multi-link independent rear suspension system.

Combined with Bridgestone Ecopia tyres on the vehicle we drove, the result is solid grip levels and a well resolved ride/handling combination offering good ride comfort on all surfaces – except high-frequency road rash, where it felt a bit firm – and notable resistance to body roll.

The steering is very light at parking speeds but firms up enough at suburban and highway speeds to feel a bit sporty, although it doesn’t deliver the type of feel and feedback offered by class-leading medium SUVs like the Kia Sportage and Mazda CX-5.

Certainly the only real downside when it comes to the XUV700 driving experience are front seat bases that are too small and too high – even at their lowest heights – limiting thigh support and headroom, especially for tall drivers.

Anyone over about 178cm tall will feel like their head is too close to the roof, forcing them to slouch for a better view of the road.

The 2023 Mahindra XUV700’s off-road capability is limited by its front-drive layout and efficiency-oriented tyres, but there is a full-size (steel) spare wheel tucked under its rear-end and although ground clearance of 196mm is hardly LandCruiser-like, other off-road-relevant geometries are at least par for the course including 22.6-degree approach, 24-degree departure and 20.7-degree rampover angles.

If the Scorpio off-roader set a new interior design standard for Mahindra then the 2023 Mahindra XUV700 goes a step further with this classy, spacious and airy cabin that’s packed with tech like the infotainment touch-screen and digital instrument cluster under the one continuous panel, operated by a console-mounted rotary controller.

The huge panoramic sunroof (thankfully with a full-length sun blind) bathes the first two rows of seats in light and, combined with the white faux-leather trim and low interior noise levels, really makes the XUV700 cabin a pleasant place to spend time in.

Measuring 4695mm long (exactly the same as the Outlander, 15mm longer than the X-TRAIL and about 100mm longer than the soon-to-be-replaced CR-V), as well as 1890mm wide, 1755mm high and riding on a 2750mm wheelbase, the XUV700 is actually 23mm longer than the Scorpio but 27mm narrower and about 100mm lower.

That makes the well-packaged XUV700 interior pretty roomy, at least in terms of legroom and shoulder-room in the first two rows.

Although they come with cup holders and overhead ventilation outlets (but no USB ports), the back seats are definitely a legs-up, kids-only zone.

They’re also positioned lower than the middle row – which is the highest seat in the house, offering the best outward view – and up against the rear window, leaving next to no luggage space behind them when in place.

However, they and the middle row of seats do fold almost flat into the floor, creating a pretty sizeable cargo area. Mahindra does not state total cargo volume, but says it’s more than in the XUV500 (702 litres) thanks to the 50mm-longer wheelbase.

There are climate-control vents for all three rows of seats and a handy Ergo Lever allows second-row occupants to tilt/slide the front passenger seat forward when not in use to liberate more rear legroom.

Other standard cabin amenities include a one-touch tumble function for the 60/40-split middle row (on the correct/kerb side) to improve rear-seat access, and a second-row seat with arm rest and cup holders.

The 2023 Mahindra XUV700 not only sets a new benchmark for an Indian auto-maker that’s perhaps best known for being the world’s biggest tractor manufacturer, but is a worthy addition to Australia’s single biggest new-vehicle segment and well worth a test drive for anyone in the market for a mid-size SUV – especially those on a budget.

But unlike the XUV500 it replaces, buyers of the XUV700 won’t have to skimp on safety, technology, refinement or comfort, despite bargain-basement pricing that makes it the nation’s cheapest new seven-seat vehicle.

It might lack some expected features and the broad range of variants offered elsewhere in the highly competitive medium SUV market sector, but the XUV700 brings comparable ride, handling, performance and equipment for at least $4000 less than its closest rivals.

Yes, the XUV700 is easily the best Mahindra yet and it deserves to attract plenty of Aussie buyers because of its well-considered design and technology – not just its low price and long warranty.

2023 Mahindra XUV700 at a glance:
Price: From $36,990 drive-away
Available: Now
Engine: 2.0-litre four-cylinder turbo-petrol
Output: 149kW/380Nm
Transmission: Six-speed automatic
Fuel: 8.3L/100km (ADR Combined)
CO2: 193g/km (ADR Combined)
Safety rating: Five-star (Global NCAP)