Subaru Forester vs Mahindra XUV700

What's the difference?

The Subaru Forester 2.5i-S continues to impress me. It’s a very practical family car with its features and use of space but I like the price, too. Some of the old-school design aspects won’t appeal to everyone, though. I also would prefer a more powerful engine but this easily gets an 8.0/10 from me.

My son liked his view this week and the big sunroof, he gives it a 7.0/10. 

We love a car which subverts expectations, and for the most part, the XUV700 has managed to. It feels like the brand has leapt over a few steps when it comes to design, quality, and particularly drivability, which bodes well when you combine it with a bargain price, a good equipment list and solid packaging.

The question is: Does the Australian market have room for yet another value player in a space already so well occupied by Chinese newcomers? Only time will tell.

The 2023 model hasn’t seen a facelift and remains decidedly curvy with its chunky body panelling but the LED exterior lights add some sharpness to the overall look.

The interior carries the ‘muscular’ vibe with the thick cutaways and ledges on the dashboard and door panels. There’s a lot happening inside but it all somehow manages to not be overwhelming.

It’s a bit old-school inside, with the traditional gearshifter, CD player (yep, they still exist) and smaller 8.0-inch touchscreen multimedia system but I reckon it just makes this look more capable.

It’s certainly polished but it won’t appeal to drivers who are looking for sleek or futuristic styling. 

The XUV700 is a clean-sheet design on an all-new platform and it shows. There are still echoes of the past in this SUVs bodywork, with the raised rear haunches and traditional Mahindra-shaped grille, but it feels like it’s taken a massive leap into the 21st century this time around.

It has a strong modern flavour and presence on the road, which doesn’t feel more than a generation behind like previous Mahindra offerings. Gone are the awkward curves and frumpy edges of its predecessors, and instead we’re welcomed by a more refined face, nipped and tucked rear with sporty touches, tough haunches and a contemporary overall look.

Inside the most dramatic upgrades have been deployed, including the impressive digital suite, seemingly decent software with a quick, responsive, and customisable instrument cluster, a new more attractive steering wheel, and a much smoother flow and coherency to design which we haven’t seen before from the Indian giant.

There are only a handful of areas, like the dorky elongated shifter, some hard plastics in the doors and atop the shapely dash, and the manual handbrake in the base car to remind you of its bargain price-point and origins.

It’s nice these attributes unite for an uncontroversial and modern overall feel, and quality is feeling on-par, but it’s also hardly original.

The headlights and steering wheel look like they could be worn by any Renault, the tail-lights look like they belong on a Nissan, and the dual-screen dash and door-mounted electric seat controls are clearly meant to emulate Mercedes.

Actually, one for the switchgear nerds, the function stalks are from the SsangYong parts bin, a holdover from when Mahindra owned the Korean automaker. Still, if you’re going to take inspiration, I can think of worse places to take it from, and it’s frankly remarkable all these pieces of inspiration fall together so well.

The interior is downright practical and boasts more space than this SUV class can usually claim. At 168cm (5'6") I have plenty of head and legroom in both rows, even with the electric sunroof! Tall passengers will feel comfortable, too.

Up front, the leather-accented seats are well-padded and both are electric with heating function but the passenger side misses out on additional lumbar support.

Individual storage options are quite good with a deep middle console and glove box, plus two cupholders and a drink bottle holder in each door.

The phone utility tray is a tad too small for my iPhone 8 Plus, which makes it awkward when you connect to the wired Apple CarPlay or Android Auto.

The 8.0-inch touchscreen multimedia system is on the smaller side but the graphics are super clear. It’s not laggy either, which is always a bonus, and has built-in satellite navigation, too. 

There is an additional 4.2-inch screen on top of the dash plus the 6.3-inch digital instrument panel – both display safety and vehicle information but I found it confusing jumping between all three screens while on the go.

Incorporating the smaller screen’s info into a larger instrument panel would have been better.

Charging options are good throughout with each row getting two USB-A ports but the front also enjoys two 12-volt ports too.

The back seat is almost as comfortable as the front and individual storage is better than average with a map pocket and two device holders on the backs of both front seats. There are those drink bottle holders and two cupholders in the fold-down armrest.

The amenities are a bit bare but I do like that you have directional air-vents and those USB ports.

My six-year old and my parents found it super easy to get in and out of this car because of the 220mm ground clearance.

The doors were a little heavy for my son to operate smoothly but I love how they open to almost 90 degrees because it made it easy to fit my monster booster seat through the aperture.

On that note, there are ISOFIX child-seat mounts on the outboard seats and three top-tether anchor points and I reckon you might get lucky with three skinny seats.

There should be plenty of room for front passengers when a 0-4 rearward facing child seat is installed, too.

I really like how wide and tall the aperture is for the boot but was surprised that it only has 498L of capacity because it looks a lot bigger.

It has a level loading space but because of the full-sized spare wheel, you can’t adjust the floor level. And as always, it’s great having a powered tailgate.

Low-cost options in the mid-size SUV space usually get a bunch of basic stuff wrong. Laggy, ugly software, for example, is prevalent in the MG HS, while clumsy switchgear takes away from the Haval H6, and a particularly awkward driving position is notable in the LDV D90.

Mahindra’s XUV700 does not fall into these traps. The front seat feels spacious and airy, the seating position is high but not unsettling, and the thing which took me aback the most is the way everything works.

It’s a little annoying the base car gets no telescopic adjust and misses out on a second bottle holder because of the manual handbrake, but other than this, the ergonomics in the cabin are solid. A centre dial, for example, can be switched from navigation controls to function as a volume dial if desired, and there are plenty of shortcut buttons for the multimedia and the dual-zone climate making it a breeze to adjust things on the move.

For storage there is a large bottle holder and map pocket in each door, a large bottle holder (two in the case of the AX7L) in the centre, a bay under the climate unit good for phones and wallets (it is a wireless charging pad in the AX7L), and there’s a deep armrest console box between the front occupants.

The second row is also airy and spacious, with a nearly flat floor making even the centre position seemingly suitable for an adult. Behind my own seating position I had plenty of space at 182cm tall, and there are a set of adjustable air vents plus a slot for a phone, a USB-C charging outlet, and large bottle holders in the doors.

The third row? It’s not bad, but I’ve sat in better. The left-hand side second-row seat folds up and rolls forward, making access better than some of its rivals, but behind the second row my knees are hard up against the seat in front, and my head is touching the roof. There’s decent amenity; a bottle holder on each side and an adjustable air vent with a fan controller, but this is a space best left for kids.

Mahindra doesn’t have an official boot capacity number to give us yet, but predicts it will be over 700 litres given the dimensions. With the third-row folded it looks cavernous, but with it deployed you’ll be lucky to get a day bag in behind.

For those interested in towing, the XUV700 can tow a 1500kg braked trailer (750kg unbraked) and there’s halfway decent ground clearance, at 196mm.

This car has its work cut out for it because the precedent for Mahindra SUVs in Australia isn’t great.

Back in 2018, this car’s predecessor, the XUV500 arrived to lacklustre reviews despite its similar market positioning. Back then, low-cost alone wasn’t enough to crack Australia’s heated mid-size SUV market, but now Mahindra is promising its all-new generation product is different and ready for a more global audience.

The pricing for the XUV700 is immediately impressive. Starting at $36,990 drive-away for the entry-point AX7, this car is now officially Australia’s cheapest seven-seat SUV, and this hasn’t come at the expense of standard equipment.

The price includes 18-inch alloy wheels, LED headlights, dual 10.25-inch screens for the multimedia and digital instruments, wired Apple CarPlay and Android Auto connectivity, synthetic leather interior trim, a six-way power adjustable driver’s seat, dual-zone climate control, push-start ignition, and even a panoramic sunroof.

Stepping up to the top-spec AX7L which commands a $3000 premium ($39,990 drive-away) adds some missing safety equipment like a blind spot view monitor, a more advanced adaptive cruise system (able to come to a full stop and re-start), as well as a 360-degree parking camera.

This version also scores electronically retracting door handles, a premium audio system, and a wireless phone charger.

Bizarrely, it also adds a seventh airbag for the driver’s knee and a telescopically adjustable steering column, and swaps out the manual lever handbrake for a digital switch.

These are things which would normally be expected as standard on many of its rivals, and it’s a shame to see safety items, particularly airbags, behind a paywall.

Regardless, the fact this car manages to significantly undercut established rivals like the entry-level seven-seat Nissan X-Trail, Mitsubishi Outlander, Honda CR-V and even the cut-price LDV D90, while providing similar equipment levels is pretty impressive.

There are no options for now bar several accessories. All five colour options are free, and Mahindra says there’s more to come in terms of spec levels and interior options if all goes well.

Our Forester model has a 2.5-litre, horizontally-opposed four-cylinder 'boxer' petrol engine with a maximum power output of 136kW and 239Nm of torque.

It’s not the most powerful engine but I feel it had plenty of power for what I required of it this week. It can occasionally whine if you push it hard on a hill.

This is an all-wheel drive but has a continuously variable auto transmission, which can feel a bit clumsy at lower speeds.

There’s just one engine for the XUV700 for now, a 2.0-litre turbocharged four-cylinder designed in-house at Mahindra.

Power outputs are comparatively impressive at 147kW/380Nm, especially when lined up against the old 2.5-litre non-turbo units powering some rivals.

The power is channelled to the front wheels via a six-speed Aisin-sourced traditional torque converter automatic. For a keen driver this is preferable to a CVT or a dual-clutch, so this sits well with us.

Overseas there is also the option of a 2.2-litre turbo-diesel (136kW/450Nm) with all-wheel drive, but this is yet to materialise for the Australian market.

The official fuel figure for the combined cycle is 7.4L/100km and my real-world usage came to 6.9L. That’s great economy for this sized SUV but I did mostly open-road driving this week. Expect it to be higher in the city.

Based on the combined fuel figure and the 63L fuel tank, you should be able to get a driving range of around 850km, which is good for those families who like to do road trips.

Efficiency is officially rated at 8.3L/100km for both XUV700 grades, which is not bad but not great. Understandable for an SUV which weighs in excess of 1800kg powered by a 2.0-litre turbocharged engine.

We didn’t pull an as-tested fuel number this time around as we were hopping in and out of different vehicles, so standby for a more detailed analysis when we have one for a week-long follow-up test.

The fuel tank comes in at 60 litres, for a theoretical range of roughly 723km.

Hoping to hold out for a hybrid? Don’t. Mahindra isn’t working on one. Look to its incoming fully-electric BE sub-brand instead.

I’ve mostly enjoyed driving this around town but it delivers a steadier experience on the open road. That CVT auto just doesn’t do it any favours in stop/start traffic, I’m afraid!

I didn’t have to get too aggressive with the accelerator on hills, but the engine can whine if you push it too hard.

Overall, the steering is responsive enough to confidently take on a winding road but it’s on the looser side of firm. The ride comfort is superior and while the suspension feels super cushioned, it’s not floaty.

The cabin can get a bit loud at higher speeds and your senses might feel battered after a long trip but it is otherwise pleasant to be in.

I am particularly fond of the higher driving position and how the windows at the rear are so wide. It has great visibility, which is important in a SUV.

The exterior styling makes the Forester appear a lot larger than it is but the 10.8m turning circle reminds you how easy it is to manoeuvre! 

The reversing camera is clear and I love the additional side camera that shows the front left wheel. It makes it easy to line up the car with parking lines.  

It’s good. Surprised? Me too.

The XUV700 is good to drive in a fundamental way which is not the case for its Chinese rivals. There’s no impending feel of understeer or clumsy dynamics on show. The XUV700 is controlled and solid on the road, with a surprising level of refinement in the cabin.

Visibility is plentiful, and while power from the turbo engine isn’t quite as urgent as the figures initially suggest, it’s more than enough for a family commuter. Even the six-speed transmission is smooth and unobtrusive, unlike many dual-clutch or CVT options in this space. There isn’t even any noisy engine surging, with the unit here feeling refined and distant.

It’s almost ready to duke it out with more established rivals, but there are still flaws. The steering, for example, is very light. This will make it easy to control in low-speed parking situations, but it lacks any kind of feel or feedback at speed.

The ride is comfortable, perfect for its family intentions. Mahindra utilises a multi-chamber system here to achieve unusually competent response over a host of different surfaces, especially rare for a vehicle at this price or in this category. Everything comes at a cost, though, and the cost of this system is a fair bit of body roll in the corners, and a bouncy nature over undulations. 

Fundamentally, though, this car is solid. Nothing proved this more than the brand letting us drive its family SUV on a track at speed. What seems like a silly stunt is an important vote of confidence in the way this car handles, because it’s at track speeds and conditions where all the ugly characteristics will come to the fore.

While it’s certainly no track hero, what was most impressive is despite its rolly suspension and ultra-light steering, there were no major red flags about this car which stood out. It’s solid, and Mahindra knows it. I’d dare MG or GWM to do the same with the HS or H6.

What does all this mean for you? The car has safe road holding and confident dynamics, as well as the comfort for your family. It’s not as razor-sharp as the Japanese or Korean competition, but it’s better than all of its low-cost rivals.

At least on paper, the XUV700 does well. Standard active equipment includes auto emergency braking (a first for the brand, which we were given the opportunity to test on a dummy - it definitely works), lane keep assist with lane departure warning, adaptive cruise control, and traffic sign recognition.

Only the top-spec AX7L gets stop and go function for the adaptive cruise, a 360-degree parking camera suite, and a laggy low-framerate blind spot camera in place of an actual blind spot sensor system, the latter being the standard throughout the industry.

The side curtains extend all the way to the third row, although, oddly, the AX7L is the only one to get a seventh airbag (for the driver’s knee).

The verdict is out on this car’s actual crash performance until it secures an ANCAP rating, which it is yet to do.

The on-going costs are quite reasonable on this with it coming with a five-year/unlimited km warranty. You can choose to pre-purchase a three- or five-year capped-priced servicing plan, which is cheaper than a pay-as-you-go option.

It’s $1387.25 for the three-year plan (averaging $463 per service). Expect to pay $2674.64 for the five-year plan (averaging $535 per service) but both plans are competitive for the class.

Servicing intervals are average at every 12 months or 12,500km, whichever occurs first.

Seven years of warranty is a good start, and has Mahindra joining an increasingly large club of challenger brands which are following in the footsteps of Kia by offering above-average coverage in this department. Mahindra’s version only covers the first 150,000km of distance, but there’s seven-years of roadside assist, too.

At the time of writing, Mahindra was yet to land on service pricing. This could be the last piece of the puzzle for some buyers. The XUV700 needs to be serviced once every 12 months or 10,000km.