Key highlights:
- Mahindra cuts XUV 3XO prices by $1500 to match the Tiggo 4 Petrol
- The AX5L now starts at $22,490 drive-away for 2025-build vehicles
- Mahindra also cuts $1000 from the Black Anniversary Edition
Mahindra has cut $1500 from the price of its XUV 3XO small SUV, bringing it level with its key rival, the Chery Tiggo 4 Petrol. The XUV 3XO now starts at $22,490 drive-away, making it one of Australia’s cheapest SUVs.
It now matches the Chery Tiggo 4
Mahindra launched the XUV 3XO in Australia in July 2025 with two variants.
The entry-level AX5L initially arrived with an introductory price of $23,490 drive-away, which sat $500 below its regular price at launch.
The latest promotion takes that entry-level price another $1000 lower than its original introductory price.
The entry-level AX5L now costs $22,490 drive-away, while the flagship AX7L starts at $25,490 drive-away, and this offer applies only to 2025-build vehicles and currently runs until October 31, 2026.
| Variant | Regular drive-away price | Current drive-away price | Discount |
|---|---|---|---|
| Mahindra XUV 3XO AX5L | $23,990 | $22,490 | $1500 |
| Mahindra XUV 3XO AX7L | $26,990 | $25,490 | $1500 |
The price cut puts the XUV 3XO directly alongside the non-hybrid Chery Tiggo 4 under Chery Australia’s current promotion.
Chery offers a $1500 factory bonus on 2025-build petrol Tiggo 4 models, and its offer currently runs until September 30, 2026.
| Model | Current drive-away price | Discount |
|---|---|---|
| Mahindra XUV 3XO AX5L | $22,490 | $1500 off |
| Chery Tiggo 4 Urban | $22,490 | $1500 factory bonus |
| Mahindra XUV 3XO AX7L | $25,490 | $1500 off |
| Chery Tiggo 4 Ultimate | $25,490 | $1500 factory bonus |
That gives the two SUVs identical promotional pricing.
Chery also sells a hybrid Tiggo 4, which starts at $29,990 drive-away.
The XUV 3XO Black Anniversary Edition also gets cheaper
Mahindra Australia has separately cut $1000 from the XUV 3XO Black Anniversary Edition, and its price now falls to $27,485 drive-away.
The Anniversary Edition uses the flagship AX7L as its base and adds blacked-out badging, gloss-black alloy wheels, dark aluminium scuff plates, and a rear luggage tray.
Also read: China warns carmakers over price cuts as global car war intensifies
Same engine across the XUV 3XO range
Every XUV 3XO variant uses the same turbocharged 1.2-litre three-cylinder petrol engine, which sends power to the front wheels through a six-speed automatic transmission.
| Specification | Mahindra XUV 3XO |
|---|---|
| Engine | 1.2-litre turbocharged 3-cylinder petrol |
| Drive type | Front-wheel drive |
| Power | 82kW |
| Torque | 200Nm |
| Transmission | Six-speed automatic |
Tiggo 4 uses a larger four-cylinder engine
Petrol versions of the Chery Tiggo 4 use a turbocharged 1.5-litre four-cylinder petrol engine. It also drives the front wheels, but Chery pairs it with a continuously variable automatic transmission (CVT).
| Specification | Chery Tiggo 4 Petrol |
|---|---|
| Engine | 1.5-litre turbocharged 4-cylinder petrol |
| Drive type | Front-wheel drive |
| Power | 108kW |
| Torque | 210Nm |
| Transmission | Continuously variable automatic |
Mahindra is cutting prices elsewhere, too
The XUV 3XO price reduction follows another major Mahindra price cut. Earlier this month, Mahindra reduced the starting price of the larger XUV700 by $10,000, making it Australia’s cheapest seven-seat SUV.
That cut brought the XUV700’s starting price down to $33,990 drive-away.
Mahindra does not report its XUV 3XO sales to the Federal Chamber of Automotive Industries, so VFACTS does not include its sales figures, but the small SUV segment remains highly popular.
The Chery Tiggo 4 ranked as Australia’s seventh-best-selling vehicle overall in August 2026.
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