Camouflaged Genios were tested in the same location about two years ago.

The mini Xylo version Balaji has captured is the model with the Xylo facelift’s front-end. The mini Xylo is codenamed U203 (also mentioned on the notice stuck on the car’s windshield).

The car is undergoing development for the last two years. A few months ago, Mahindra’s engineers were asked to come back with an improved powertrain that had lower NVH, according to our sources, which is the reason for the product’s delayed launch.

Mahindra is likely to position the U203 alongside the Verito and tag it as its first mini SUV. Under the bonnet lies a 1.5-liter three-cylinder diesel engine producing 60-70bhp and 160-170Nm of torque. By the festival season, the mini Xylo will be launched in India locking horns with the Renault Duster, Maruti Ertiga and Ford EcoSport. We’re also told that a brand new mini SUV project (code – S101) that has the footprint of a Ford Figo has kicked off at the Mahindra Research Valley in Chennai.

Mahindra mini Xylo Image Gallery

Mahindra may have incorporated more changes to its skin and understandably doesn’t want the finer details to be revealed by IndianAutosBlog.com’s readers who have spied this car regularly since July 2010.

The mini Xylo is codenamed U203 and in these last two years of testing, plenty has changed to the body and underneath. Mahindra could use a three cylinder diesel engine on what auto enthusiasts and followers of the industry have nicknamed the ‘grown up WagonR.’ On this application, the three-pot oil burner could output 70bhp and 160Nm.

The mini Xylo is a touch under four meters long and to lend it an element of adventure or outdoorsiness, Mahindra has mounted the spare wheel to the fully redesigned rear fascia. An early test mule was spotted having two jump seats as a third row meaning this could be India’s first compact 7-seat MPV in every sense of the word!

Mahindra will market the U203 as its first mini SUV and the launch is expected to take place before Diwali 2012. The mini Xylo could be the new entry level in the Mahindra range that includes a Renault, a REVA, and future Ssangyongs.

Read about the mini Xylo’s updated front end

Mahindra’s been testing the car since mid-2010 and to make it a niggle-free product, the team behind this model has worked very hard. In a price sensitive country like India the under-four-meters length will give the mini-Xylo a cost advantage over the EcoSport and Duster.

Mahindra mini Xylo brief spy video

The mini Xylo is derived from a MPV and the connection is clear despite giving the car off-road car traits like spare wheel on the rear door and a slightly raised body.

On this test mule, the reversing guide lights have been placed at the lower end of the redesigned rear bumper.

Earlier this year, we informed you that the engineers at Mahindra were asked to come with a three-cylinder version of the 2.2L mHawk engine in a more refined state.

The engineers seem to have achieved their goal, as the person who sent us this video said the car was very silent and there was not a puff of smoke that was coming out of the exhaust even when it was driven hard.

Brilliant designs, oodles of street presence and extremely fuel efficient engines. What could the Indian consumer ask for? However, price will determine their fate. If both companies do not manage a sub 10 lakhs pricing, a death knell will ring on the compact SUV segment before it even took off!

However, Mahindra has been busy testing the mini Xylo since mid-2010. For our new audience – Mahindra Mini Xylo is a shortened version of the existing Xylo with the third row seat replaced with two jump seats for kids.

The Mahindra mini Xylo is a very versatile product. It can compete against the so-to-be-launched Maruti Suzuki Ertiga in the mini MPV space. At the same time, it inherits the Mahindra SUV DNA which means it can also compete against compact SUVs like the EcoSport and Duster.

Mahindra can play the pricing card to absorb the whole demand of the Mini MPV and Compact SUV. Firstly, the Mini Xylo is a sub-4 meter vehicle which means its enjoys considerable tax benefits from the government. Secondly, it will be cheaper than the existing Xylo which means the Mini Xylo ‘HAS TO BE’ priced below 7 lakhs.

Now, one can argue that the EcoSport and Duster would be far more refined and polished products that the Mini Xylo. They will have more features and tech loaded in them than Mini Xylo. They may be more reliable and have a higher status.

The last time Mahindra took so much time to test a vehicle, they came out with the XUV500 which is indeed a global SUV all set to invade the European markets.

If Mahindra manages to endow the Mini Xylo with good features and refinement levels, it will spell doom for the compact SUVs. So is the Mahindra Mini Xylo really the underdog over here?

[Spyshots source: MotorVikatan Facebook page]

The acrylic vertical slabs that form the grille and bumper are direct carryovers from the facelifted Xylo’s parts store room. This spyshot clarifies doubts posed on the design option Mahindra will take with the compact Xylo. Some believed the older design would live on in the mini Xylo which is codenamed U203.

Mahindra is also reworking the refinement of the three-cylinder diesel engine, a derivative of the 2.2-liter mHawk engine used on the Xylo and Scorpio. As we reported in a previous post, engineers were asked to return with a more refined engine.

Shoeb's mini Xylo rendering has the Xylo facelift's nose and an aircraft window at the C-Pillar

We have also seen a seven seat version last year with two tiny jump seats through spyshots. Mahindra will call the mini Xylo as a mini SUV and launch it before the festival season.

[Spyshot sourced from Facebook.com/MotorVikatan]

In case you haven’t already read our First Look of the new Xylo, M&M has uploaded a new video explaining the new additions to the Xylo family.

Magical bird droppings? Or a mystical “facelift drive-in” that’s induced changes on the Xylo? We’ll let you do the thinking!

Read about everything that’s new on the Mahindra Xylo facelift

Toyota Kirloskar Motor just gave the Innova a comprehensive revamp and immediately it caught the market’s fancy. The most successful challenger to the Innova – the Xylo was in dire need of change and so it gets one. But what has changed?

Although the entire model lineup has been changed, but the most number of changes are done to a new top variant – E9.

So let’s run you through the list of changes:

The new Xylo E9 gets a completely re-worked front fascia. The changes are subtle yet distinctive. The most important change is the flat grill that the earlier roundish one. The Mahindra logo is now placed at the lip of the bonnet rather than on the grill as was in the case of earlier models.

The headlamps and the fog lamps have been redesigned to give the Xylo its new distinctive look. The air dams are now slightly wider and the protectors on the front bumper may reduce the aesthetic value but certainly provide freedom from scratches.

On the side, the Xylo keeps its old character lines but gets new rubrails and sandy finish body decals. The alloy wheel design has not been changed but the roof rails are now body hugging then the earlier taller ones.

The B and the C pillar have been completely blacked out.

Not much has changed at the rear. The distinctive changes include a new rear spoiler with integrated brake lights and crystal-clear treatment on the new tail lamps. This wraps up the exterior changes or the new Xylo.

Step into the car and you notice that the interiors are much pleasing than the older one. That’s because the dashboard now features a slightly darker version of brown. The color gels very well with the wood finish and beige interiors.

The steering wheel gets cruise control and voice activated control buttons. The Voice Command Technology (VCT) allows you to order instructions to the car. Unlike the voice command system in the new Ford Fiesta, the technology in Xylo allows to control mechanical actions such locking the door, starting/stopping the wipers, opening the fuel lid etc. Also, unlike the Fiesta, the VCT was developed for Indian accents so it’s more obedient. If you are an XUV500 owner and really feel cheated because you don’t get this technology, wait for 6 months and you’ll find it there.

The superbly comfortable seats now get genuine Italian leather which feels plush. The snack trays, rear laptop charging points and individual AC vents and reading lamps for each passenger are some of the other features which catch your eye.

The Xylo E9, being targeted towards affluent families, is loaded with safety features such as: Dual SRS airbags, ABS with EBD, reverse park assist etc.

On the business end, the Xylo E9 gets Scorpio’s engine with 120bhp mated to an all new 5-speed MT 320 transmission. The company claims a fuel efficiency figure of 14.02 kmpl. Mahindra has also fiddled with the rear suspension set up to provide extra stability. On a short drive, we noticed reduced body roll, really good grunt from the engine but at the same time there was a lot of sound creeping into the cabin and the gearbox is certainly not up to the mark.

Just like the Scorpio, the Xylo is finally beginning to evolve as a product. Early Scorpio owners will agree with me when I say that there is a vast difference between the Scorpio then and the Scorpio now. Same is with this new Xylo. Mahindra has done some really interesting changes in this evolutionary phase of the Xylo. Although it is far from its rival Toyota Innova in terms of refinement, it is definitely a step in the right direction.

• D2 and D4 for commercial segment
• E4 and E8 for family
• E9 positioned as the luxury variant

Mahindra Xylo facelift variant and price (in lakhs, ex-showroom Delhi)

• E9 – 10.25
• E8 (ABS and Airbags) – 9.47
• E8 ABS – 9.10
• E4 ABS – 8.34
• E4 – 8.11
• D4 – 7.77
• D2 – 7.37

Following are the changes and additions on select variants of the Mahindra Xylo facelift

• Headlight, wiper, fuel lid, door locks and personal phone calls operate on voice commands
• Interiors are exactly the same except for the dual tone on the dashboard
• Plenty of changes on the exterior styling which includes a new grille, bumper, chrome accents, body decals, curved bonnet, etc.

Mahindra has mentioned about the “Extra Stability Technology” that looks like an improvised anti-roll bar to cut down body roll. It comes standard on all the variants. Convenience features like Digital Driver Assist System, electrically operated outside mirrors, dual airbags, ABS and EBD are present on the top-end variant.

The Xylo was launched on the 13th of January, 2009. Over 90k units have been sold in these three years to capture a market share of 27%.

Mahindra has introduced the 2.2-liter mHawk engine (from the Scorpio) on the top-end E9 variant that comes with a different transmission.

Mahindra Xylo Facelift Image Gallery

Mahindra sells two versions of the Xylo, one for the personal segment and another for the commercial segment. The facelift has improved the car’s looks as it has cleared the clutter. The front-end looks orderly and some guidance has come from the commercial vehicle twin, Genio.

The launch of the new series is conducted tomorrow in Mumbai and as usual IAB, from ground zero, will bring you the prices and changes.

[Source - Facebook.com/groups/rehanandselvin]