Indian carmaker unveils bold plans for New Zealand push

Saturday, 1 April 2023

Mahindra’s XUV700 is now the country’s cheapest three-row SUV.

Mahindra has announced pricing for the first new model it’s launched in New Zealand in four years, the XUV700 three-row SUV, whilst also offering insights around its plans for the rest of 2023.

Mahindra will offer the XUV700 in three different flavours; the entry-level 5-seater AX5, the 7-seater AX7, and the flagship AX7X. Each is powered by the same turbocharged 2.0-litre four-cylinder petrol engine paired to a 6-speed automatic and front-wheel drive.

Mahindra’s next model queued for launch Down Under is the rugged Scorpio-N.

The trio is priced at $36,990, $40,990, and $43,990, respectively. This makes them three of the most affordable midsize SUVs on the market, comfortably undercutting the likes of the Toyota RAV4 and Kia Sportage.

It also makes the XUV700 the cheapest 7-seater SUV currently offered in New Zealand. For reference, the LDV D90 starts at $41,990, the Mitsubishi Outlander $46,990, the SsangYong Rexton $46,990, and Honda’s CR-V Sport 7 is $50,000.

Apart from the XUV700, Mahindra’s line-up also includes the plucky Pik-Up ute.

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Those quoted prices do not include on-road costs or the model’s $2,357 Clean Car Discount fee. Each model comes with a 5-year, 150,000km warranty.

The XUV700 was launched at Hampton Downs Motorsport Park on Friday, with Mahindra head of operations Joydeep Moitra amongst those from the brand in attendance.

The XUV700’s arrival and roll-out will coincide with the brand’s coordinated local expansion. It recently updated its logo and corporate identity, opening its first updated dealership in Manukau earlier this year.

Mahindra has had a presence in New Zealand for several years already, but remains a fringe name. Despite this, it’s likely to be buoyed by the recent success felt by other former fringe marques, MG and BYD. Unsurprisingly, Moitra believes that it is the perfect time for Mahindra to expand its operations around the world.

The brand will soon launch its Scorpio-N SUV – a diesel-powered, ladder-chassis rival to the likes of the Mitsubishi Pajero Sport and Toyota Fortuner. It is also in the process of consolidating its local dealership network. It currently has 18 dealers dotted across the country.

Whilst Moitra was hesitant to talk about Mahindra’s electrification plans, he did confirm that the brand will eventually develop an electric version of the XUV700. The operations head reaffirmed that Mahindra is skipping hybrids and plug-in hybrids – instead choosing to focus solely on pure internal combustion engine vehicles and EVs.

Mahindra New Zealand has previously said that the fully electric XUV400 EV would be launching locally in 2023. The timelines on these new models is unclear, although the brand teased that there are likely to be more models confirmed for New Zealand before the end of the year.

Critical to the success of Mahindra’s effective relaunch in New Zealand is whether it can secure adequate supply of vehicles from overseas.

The brand was coy on the topic of supply quantity specifics, with Moitra stating only that Mahindra is “committed long term” to New Zealand, adding that “very good numbers of stock” will be available.

Russell Burling of Dealer Direct Wholesale Limited, the local distributor of Mahindra, noted that the brand needs to “sell volume to increase our volume”. He assured attendees that the brand had enough stock to provide dealers with adequate supply for the moment, noting that shipping times and waiting periods have improved in recent times.