Mahindra is working on a new compact SUV for the Indian market. The new vehicle is being developed with some assistance from Ssangyong Motors, which Mahindra acquired last year. The company has been working on this project for a year, and the vehicle is expected to be powered by 1.2 litre petrol and 1.5 litre diesel engines.
One of the most important aspect of this project is the pricing, and the base model of the compact SUV will have a jaw dropping price of Rs 4 lakh. The length of the car will be less than four meters to minimize the tax liability, and will also have a monocoque chassis like the newly launched Mahindra XUV500.
The car will be manufactured in Mahindra’s Chakan plant, near Pune and is slated to become the cheapest SUV in the world.
