Mahindra & Mahindra, one of India’s leading automakers, is reportedly exploring hybrid powertrain technologies to broaden its SUV portfolio. The company is evaluating strong hybrids and range extender hybrids to cater to the growing demand for fuel-efficient and environmentally friendly vehicles.
Strong Hybrid for XUV 3XO: Project S226
Mahindra is developing a strong hybrid version of its compact SUV, the XUV 3XO, under the internal codename Project S226. Expected to debut in 2026, the XUV 3XO hybrid could feature a 1.2-litre turbo-petrol engine paired with a robust hybrid system. This powertrain is likely to balance performance and efficiency, offering a competitive edge in the hybrid compact SUV segment.
Range Extender Hybrids for Born Electric SUVs
Mahindra is also working on range extender hybrid powertrains for its Born Electric (BE) series of SUVs. These models, codenamed M130 and M330, will utilize a battery-electric system complemented by a small petrol engine that functions solely as a generator to recharge the battery. This innovative approach aims to address range anxiety among EV buyers while maintaining the eco-friendly benefits of electric propulsion.
The range extender technology is being developed on Mahindra’s INGLO platform, which is the foundation for its upcoming electric SUVs. The automaker plans to finalize its strategy for these models within the next 6-8 months, with production targets set at 40,000-50,000 units annually if they proceed with the launch.
Why Hybrids Now?
Mahindra’s shift towards hybrid technology reflects a strategic move to diversify its powertrain offerings which is primarily dominated by diesel fuel. While the company has made significant strides in the EV market with its BE series, hybrids provide a practical bridge for consumers transitioning from traditional ICE vehicles to full-electric models.
Hybrid vehicles currently make up a small yet growing share of India’s passenger vehicle market. In 2024, hybrids accounted for just 2.1% of total passenger vehicle sales. With rising fuel prices and a push for sustainable mobility, the demand for hybrid technology is expected to increase.
Competition in the Hybrid Segment
Mahindra will enter a competitive hybrid market dominated by Suzuki and Toyota. Models like the Toyota Urban Cruiser Hyryder and Maruti Suzuki Grand Vitara Hybrid have already gained significant traction. Other automakers such as Hyundai, Kia, Skoda Auto Volkswagen, and MG Motor are also developing hybrid solutions for the Indian market.
Future Prospects
If successful, Mahindra’s hybrid SUVs could play a pivotal role in reshaping India’s automotive landscape. The strong hybrid XUV 3XO could appeal to urban buyers seeking efficiency, while the range extender hybrids could offer a unique value proposition in the premium electric SUV market by filling the gap between ICE Car and Pure BEVs.
By exploring hybrids alongside its electric offerings, Mahindra is positioning itself as a versatile player in India’s rapidly evolving automotive ecosystem.
