The GST 2.0 reforms, effective from September 22, 2025, have lowered taxes on compact SUVs, making them more affordable for Indian buyers. Mahindra & Mahindra has passed on the full benefits, cutting XUV 3XO prices by up to ₹1.56 lakh on the top diesel variant. The base MX1 petrol now starts at ₹7.28 lakh (ex-showroom, Delhi), down from ₹7.99 lakh. This cut applies to all 25 variants, including turbo-petrol and diesel options, making the XUV 3XO a top choice in India’s sub-4m SUV segment.

What Is GST 2.0 and Why Is the XUV 3XO Cheaper?

GST 2.0 is a government tax update to make cars more affordable. For compact SUVs like the XUV 3XO (under 4 meters with engines up to 1500cc), the old tax was 29% (28% GST + 1% cess). Now, it’s a flat 18% GST, cutting costs by 11% on petrol variants and 10.4% on diesel. Mahindra is sharing this full saving with customers, effective September 22, 2025 just in time for Navratri and Diwali.

This makes the XUV 3XO, with its bold design and feature-packed cabin, more budget-friendly. Petrol variants save up to ₹1.24 lakh, while diesel variants save up to ₹1.56 lakh (biggest on AX7 L Diesel). It helps Mahindra compete with rivals like Tata Nexon or Maruti Brezza, where prices are also dropping.

Learn More: Toyota Fortuner New Prices After GST Cut: Compare Old vs New Prices Here

Confirmed Old vs New Price Comparison

Quick Notes: Petrol variants save 8.8–9% (up to ₹1.24 lakh), while diesel saves 10.4% (up to ₹1.56 lakh on AX7 L Diesel). These are ex-showroom on-road in Delhi starts at ₹8–15 lakh.

Learn More: Tata Motors GST Price Cuts: Tata Nexon, Punch, Harrier get benefits of up to Rs. 2 lakh

Key Specs: What Makes the XUV 3XO Stand Out

The XUV 3XO is a sub-4m SUV with bold looks and fun driving. Here’s a simple table of its main specs:

Quick Notes: The turbo-petrol is peppy for city drives, diesel is efficient for highways. It seats 5 comfortably.

Key Features: Style and Tech

The XUV 3XO packs modern features in a compact package.

• Engine and Drive: Smooth 1.2L turbo-petrol or efficient 1.5L diesel, automatic option for ease.
• Interior: Dual 10.25-inch screens (infotainment + driver display), wireless Android Auto/Apple CarPlay, panoramic sunroof (top variants).
• Safety: 6 airbags, Level 2 ADAS (adaptive cruise, lane keep), 360-degree camera, and disc brakes all around.
• Comfort: Ventilated seats, wireless charging, and 6-speaker audio.

Pros and Cons: The Real Picture

Pros:

• Big Savings: Up to ₹1.56 lakh off – base now under ₹8 lakh ex-showroom.
• Bold Looks: Sharp design stands out in traffic.
• Fun to Drive: Turbo-petrol’s 200 Nm torque for quick overtakes.
• Loaded Features: ADAS and dual screens at this price – premium feel.
• Good Mileage: 20–21 kmpl diesel for low fuel costs.
• Safety Focus: 5-star Global NCAP rating with 6 airbags standard.

Cons:

• Rear Space: Tight for three adults on long trips.
• Ride Quality: Firm suspension feels bumpy on bad roads.
• Top Variants Costly: AX7 L still over ₹14 lakh ex-showroom.
• No Petrol AT: Automatic only on select diesel trims.

How to Buy the XUV 3XO After GST Cut

• Check Prices: Use Mahindra’s website or app for city-specific quotes.
• Book Early: Visit a dealer before September 22 for old-stock deals (extra savings).
• Finance: EMI from ₹12,000/month, festive offers up to ₹50,000 off.
• Test Drive: Try turbo-petrol at Mahindra showrooms.
• Add-Ons: Extended warranty (₹10,000) or accessories (₹5,000).

Learn More: Honda Cars Price After GST Cuts, Offering Up to ₹1.2 Lakh Savings: Model-Wise Details

Final Verdict: Is the XUV 3XO Worth Buying Now?

Yes – the Mahindra XUV 3XO after the GST 2.0 cut is a smart buy in September 2025. Savings of up to ₹1.56 lakh bring the base to ₹7.28 lakh ex-showroom, making it a great choice for first-time SUV buyers. With bold styling, ADAS safety, and strong performance, it’s ideal for city and highway use. Go for it if you want features and fun; skip if rear space is key. Festive deals add value – visit a dealer soon.