Mahindra says ute, one new SUV per year coming

INDIAN importer Mahindra has used the occasion of the launch of its XUV 3XO compact SUV to detail the arrival of even more new product, including, it says, one new SUV each year and a dual-cab light commercial utility.

Bolstered by the sales success of its XUV700 and Scorpio models – which combined have sold 4185 units in the financial year ending April 2024 – Mahindra vice president of XUV brands and international marketing Neha Anand said the rate of change displayed in its latest product demonstrates the brand’s commitment to growth in export markets, including Australia.

“In the last four years, the number of launches that we have done shows our growing focus on international markets,” she said.

“The roadmap that we have planned for the next decade or so speaks to the agility of the Mahindra brand, and our ability to bring new products to market based upon the demands of those markets, and catering to that (demand).

“This has been a journey of four years to change the positioning (of the brand) from where we were, to where we want to be … and yes, we have a very good spectrum of products coming across ICE, electric, and LCV categories.”

Clarifying the statement made by his colleague, Mahindra head of international operations Sachin Arolkar said the new model momentum shown by Mahindra in the years since 2021 is set to continue.

“It’s a very synergistic curve,” he said of the acceptance of Mahindra product among Australian buyers.

“The products we have brought – and will continue to bring (to market) – will resonate more and more with Australian buyers, and we have our plans … we want to keep our track record of bringing a new SUV (to market) every year.”

The next vehicles slated for Australian arrival include the BE 6 and XEV 9e electric vehicles due later in 2025 or in early 2026.

Underpinned by the firm’s Inglo EV architecture, they will respectively rival the likes of the Toyota Corolla Cross and RAV4 in terms of size, while offering a rear-mounted electric motor outputting 170kW or 210kW (grade dependent) and 380Nm.

While local specifications and pricing are yet to be confirmed, GoAuto understands the pair will be available with a choice of 59.0kWh or 79.0kWh battery pack (again grade dependent) allowing a driving range of up to 682km.

Both may be charged via a 7.3- or 11.2kW AC domestic input or (up to) 175kW DC fast charger.

In addition to the electric vehicles and Sports Utility Vehicles currently in development, the next Mahindra Pik Up (codenamed Z121) is also moving closer to its international debut.

Speaking with GoAuto at the launch of the XUV 3XO this week, Mahindra Australia national marketing manager James Halliwell said the light commercial offering is likely to be the next in line for global release.

“We are in the validation phase of testing … and it is our number one priority right now,” he said.

“As was the case with the XUV 3XO, it (the ute) will undergo rigorous testing in a countries and climates all over the world, including here in Australia.”

As for what the vehicle might look like, Mr Halliwell suggested the model will offer styling much like other entrants in the market, moving it away from the dated appearance of the long-serving and budget-friendly Pik Up sold in Australia from mid-2007 until stocks ran out earlier this year.

“The vehicle will stick closely to that of the design shown as the Pik Up Concept (pictured) in South Africa in 2023,” he added.

“Of course, there has been some variations as the vehicle passed through its development cycle … but the designer that is leading the charge on this project will absolutely be giving us a compelling design.”

Before then, the XUV 3XO is likely to become Mahindra’s largest volume seller in Australia.

In its home market, it has become the fastest Mahindra vehicle to reach 100,000 unit sales to date.

The vehicle’s sub-four-metre size and sub-1200cc engine help it avoid the higher taxes applied to larger segment vehicles, giving Mahindra an all-important leg up in bolstering the brand’s perception in a fast-growing car market.

India’s overall car market has grown 60 per cent in the past decade and has quite a way to go. In 2024, just 44 Indians in every 1000 own a vehicle – a figure Moody Analytics says is growing at a rate of 3.5 per cent per annum.

Based on that number, it is likely the market will reach 5.1-million units per year by the end of the decade.

“We project a CAGR (Compound Annual Growth Rate) of 3.5 per cent for car unit sales in India through 2030, faster than growth rates in China, Korea, and Japan in the same period,” said Moody Analytics’ May report.

“If nine or 10 per cent of two-wheeler owners upgrade to entry-level cars, it would create replacement demand of between 1.6- and 1.8-million entry-level cars through the end of the decade.

“Annual car sales, which have averaged around 3.1 million over the last 10 years, and replacement demand will also underpin sales growth through 2030.

“These assumptions alone support our view that India will grow to be a five-million car market by the end of the decade.”

At present, Japanese, Korean, and Chinese companies, which operate in India through joint ventures and subsidiaries, together account for more than 70 per cent of the market. But domestic players like Mahindra are rapidly increasing their share.

In 2015, Indian manufacturers including Mahindra and Tata held a modest 11 per cent share of the new car market. Today that figure is 24 per cent.

Combined with a rapidly growing export market – including right-hand drive markets like Australia – it seems Indian marques like Mahindra have a very bright future indeed.