Mahindra targets top 15 with new models

MAHINDRA wants to muscle in to the top 15 selling brands on the Australian market with a growing model portfolio that will include a boldly styled new SUV and a return of the Pik-Up ute.

Speaking at the recent global media launch of the upcoming XUV 3XO – a new compact SUV expected to be priced from about $25,000 drive-away – Mahindra’s head of international operations, Sachin Arolkar, reaffirmed the Indian brand’s commitment to growing its Australian presence.

The bold growth ambitions come as more than a dozen Chinese brands continue to forge ahead with sharply-priced new models backed by sizeable marketing budgets.

“In the segments that we are competing, we want to be really in the top brands,” said Arolkar, suggesting the company could be among the top five marques in individual categories, including small and mid-sized SUVs, the latter covered by the XUV700 that sells from $39,990 drive-away.

While those top five category targets are not as ambitious as many of the newer Chinese brands that are quickly reshaping the Australian market, it’s a significant step up on where Mahindra has been.

Across the most recent Indian financial year that concluded on March 31 Mahindra said it sold 4185 cars in Australia, continuing a solid upward growth trajectory over recent years.

Arolkar wants to see similar sales growth over coming years.

Mahindra’s president of its automotive division, Velusamy R, also laid out plans to improve the products and make them more appealing, especially to families who are an increasingly important buyer demographic.

He said the brand would step up its focus on safety while also introducing hybrids as part of its electrified drivetrain strategy.

Describing Australia as a “critical market” for Mahindra, he detailed plans to develop electrified models with a focus on three types of hybrids: regular, plug-in and range extender.

“We need two things,” said Velusamy R. “One is we need a hybrid … and we need ANCAP. So we are working on the ANCAP for our future programs that we are launching and the new vehicles that will come out will have the ANCAP (five stars).”

While that new SUV will arrive with a regular ICE powertrain, a hybrid is in the wings.

Mahindra is also looking to hybrid tech for its all-new Pik-Up ute that’s expected to arrive in 2026.

However, the focus for the new ute initially – a vehicle codenamed Z121 - is on diesel.

“It is the number one dream program for us right now,” said Velusamy R of the new ute.

“It is into the test drive stage, so it's in development. It's crossed the engineering (stage), it's in the development phase … in fact it’s well into the development.”

Development vehicles of the new Pik-Up are currently testing on Indian roads and Australia has also been involved in the development of the newcomer.

Mahindra says it will sit on the latest fourth-generation version of the ladder frame architecture of the Thar Roxx five-door SUV that is not sold in Australia.

“It's the most advanced ladder frame … the Thar Roxx … it's coming out of that platform, the latest generation, generation four,” said Velusamy R.

The 2026 Pik-Up will initially launch with a turbo diesel engine, but a hybrid is firmly on the horizon.

“During the launch we will announce (plans for electrified models),” said Velusamy R.

“It's very expensive (hybrid technology), but we think a good diesel engine, automatic gearbox, is the best for Pik-Up.”

In line with a fast-changing market, Arolkar reinforced that while Mahindra is a giant in its homeland it is increasingly turning to global markets to boost sales – and Australia is one of those key markets.

“It’s made for international markets,” he said of the new ute. “That vehicle is meant for markets like Australia.”

Key to the new ute’s appeal will be a higher safety rating from the Australasian New Car Assessment Program (ANCAP).

While the XUV 3XO is not expected to get a five-star ANCAP rating – it’s lacking a centre front airbag and blind spot warning as a start – the company says it is focusing on the stricter ANCAP protocols with the view to achieving five-star scores for future vehicles.

“From day one we develop it (five-star capability),” said Velusamy R of the new Pik-Up’s ANCAP safety.

Arolkar also suggested Mahindra won’t look to compete head-on with the influx of Chinese brands, in part because it only builds utes and SUVs.

Instead he wants to lean on the brand’s engineering heritage while offering sharp value.

“Can you offer the content of a Chinese car – they offer the maximum content – with the engineering, the durability, the reliability that Mahindra has?” he said, adding that the new ute would look to broaden its market appeal.

“How do we build up a brand to be ensuring that people who don’t look upon as only for the professional use but also for personal use. That’s the kind of range we are talking about.”