Mahindra reveals updated family SUV: 2025 Mahindra XUV700 upgraded as budget-friendly rival to seven-seat Nissan X-Trail, Mitsubishi Outlander and Honda CR-V

Mahindra’s key mid-size seven-seat SUV has scored a slew of upgrades as part of a mild refresh for 2025.

The new XUV700 brings a new black interior trim option, but it maintains largely the same equipment for the base AX7 that now starts from $39,990 drive-away.

Next up, the top-spec AX7L scores several new features, like ventilated front seats, wireless Apple CarPlay and Android Auto connectivity, and memory options for the mirrors, linked to the memory presets for the seats. The AX7L now kicks off at $42,990 drive-away.

The pricing for both grades represents a $3000 price increase over the outgoing versions, although to sweeten the deal, Mahindra is throwing in two years of free servicing as part of a limited time introductory offer for the 2025 range.

The AX7 continues to be fitted with 18-inch alloy wheels, dual 10.25-inch screens for the multimedia and digital instrument cluster, wired Apple CarPlay and Android Auto connectivity, synthetic leather interior trim, power adjust and memory settings for the driver, a six-speaker stereo system, LED headlights and DRLs with fog lamps, a panoramic sunroof, a reversing camera, tyre pressure monitoring, dual-zone climate and keyless entry with push-start ignition.

The top-spec AX7L offers wireless Apple CarPlay and Android Auto, wireless phone charging, a 360-degree parking suite, a 12-speaker audio system, electronic park brake, telescopic adjust for the steering, illuminated vanity mirror, auto high-beams for the headlights, leather trim for the steering wheel, and the previously mentioned memory mirror settings.

The AX7 features forward-facing modern active safety such as auto emergency braking, lane keep assist, and adaptive cruise control, but the AX7L adds blind spot monitoring, stop-and-go for the adaptive cruise and a knee airbag.

Both variants continue to be powered by the same 2.0-litre turbocharged petrol engine, producing 149kW/380Nm driving the front wheels via a six-speed torque converter automatic transmission.

The XUV700 range is offered with a seven-year or 150,000km warranty, with a matching seven years of roadside assist.

Mahindra will have its work cut out for it in 2025 as it will have to face an expanded array of low-cost rivals from China.

The XUV700 has managed to avoid much direct competition thanks to the MG HS, Haval H6 and Chery Tiggo 7 Pro remaining five-seat offerings. Chery has entered the seven-seat mid-size game with its Tiggo 8 Pro Max (from $41,990) and more potential rivals loom with MG’s QS on the horizon as well as new options from GAC.

The Indian brand will soon add the 3X0 small SUV to its Australian range, bringing the fight to the Chery Tiggo 4, Hyundai Venue, and Kia Stonic.

It will bring Mahindra’s range to four strong before the end of 2025, featuring the XUV700, Scorpio ladder frame SUV, and the long-running Pik Up agricultural ute.