Mahindra to Rival Maruti and Tata with New CNG SUV Launching Soon

In a major move to capture a larger share of the booming alternative fuel market, homegrown automaker Mahindra & Mahindra is reportedly gearing up to introduce a factory-fitted CNG variant of its popular compact SUV. Speculations are rife that the company could showcase the CNG avatar of the Mahindra XUV 3XO, intensifying competition in the highly contested compact SUV segment.

Direct Challenge to Tata and Maruti

If launched, the CNG variant will become the fourth powertrain option in Mahindra's lineup, complementing its existing petrol, diesel, and electric offerings. This move puts Mahindra in direct competition with Tata Motors, which has dominated the compact CNG SUV space with models like the Punch and Nexon. With rising fuel costs driving consumers towards economical options, this launch could be a major game-changer for the brand.

Engine Options and Practicality Challenges

The XUV 3XO currently comes with two turbo-petrol engine choices. Industry experts suggest that the MPFI turbo-petrol engine is the most likely candidate to receive the CNG kit due to its adaptability and cost-effectiveness. However, integrating a CNG tank in a compact footprint poses a challenge regarding boot space. Similar to competitors, Mahindra might adopt a dual-cylinder setup to ensure that luggage space is not entirely compromised.