Mahindra likely to introduce XUV 3XO CNG by late 2026 to rival Nexon and Brezza

Mahindra is likely to enter the CNG compact SUV space with the Mahindra XUV 3XO, targeting rivals like the Tata Nexon CNG and Maruti Brezza CNG.

Mahindra is reportedly gearing up to expand the appeal of its compact SUV, the Mahindra XUV 3XO, with the addition of a factory-fitted CNG variant, expected to debut by late 2026 or early 2027.

While Mahindra may be relatively late to the CNG segment compared to rivals, the introduction of the XUV 3XO CNG will mark the brand’s first passenger vehicle in this space. It will go up against established offerings like the Tata Nexon CNG and Maruti Brezza CNG, both of which have already gained traction among cost-conscious buyers.

The upcoming CNG version is expected to be paired with Mahindra’s 1.2-litre mStallion turbocharged MPFi petrol engine, currently producing around 112bhp and 200Nm in petrol guise. In line with segment norms, output figures will likely drop slightly in CNG mode. The more powerful TGDi unit is unlikely to be offered with CNG due to the higher complexity and cost of integrating gas injection with direct-injection systems.

Transmission duties are expected to be handled exclusively by a manual gearbox, as seen in most CNG vehicles in this category.

Mahindra is also likely to adopt a modern dual-cylinder CNG tank layout to minimise compromise on boot space, an approach already seen in rivals like the Nexon iCNG. There is also a possibility of innovative packaging solutions, including underbody tank placement, although details remain under wraps.

Beyond expanding fuel choices, the introduction of a CNG variant will also help Mahindra meet stricter fuel efficiency and emission regulations, including upcoming CAFE 3 norms. With CNG vehicles already accounting for over 20 percent of the passenger vehicle market in India, the move could significantly boost the XUV 3XO’s sales and market share.

As more manufacturers including Renault, Nissan and Skoda explore factory-fitted CNG options, the segment is poised for further growth. With its strong brand recall and feature-rich package, the XUV 3XO CNG could emerge as a compelling new entrant in India’s increasingly competitive compact SUV space.

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