With global changes in the energy landscape, hybrid and flex-fuel vehicles may become more prevalent in the future
In the backdrop of the rapidly evolving geopolitical situation, the auto industry will have to take some tough decisions. Demand for green alternatives is increasing, with electric cars, CNG and hybrids collectively expected to contribute around 30% of total passenger vehicle (PV) sales in FY2026. The industry is also seeing strong pressure from the government towards higher proportions of ethanol blends such as E85 and even E100.
Amidst this ongoing churn, a fully camouflaged XUV7XO has been spotted road testing. Although there are no clear indications, it is possible that this test mule could be a strong hybrid version of the XUV7XO or the E85 flex fuel powertrain. It has been previously reported that Mahindra is working on regular series-hybrid options for its ICE SUVs and range-extender hybrid versions of its BEVs. Let’s look at more details on these developments.
XUV7XO spied – new green options possible
Examined from the rear, the test model shows no notable changes. A closer look at the partially visible tail lamps reveals distinctive diamond-inspired details. Most other features such as the raked windshield, layered boot lid and prominent bumper match the contours and outlines of the current model. The side profile is also the same as the current model.
The strong hybrid or flex fuel versions of the XUV 7XO are expected to get distinctive badging. But the test mule doesn’t reveal much with its heavy camouflage. The green versions of the XUV 7XO may get a facelift and exclusive color options. However, major changes to the overall design are unlikely. These spy photos are thanks to automotive enthusiast Anand S who spotted it on the highway near Tindivanam.
Display
It was earlier reported that the XUV 7XO could be the first car to get a hybrid hybrid option. This strong hybrid powertrain is also expected to be available in Scorpio N. Mahindra’s powerful hybrid setup will be based on the existing 2.0-litre turbo petrol engine. The XUV 7XO strong hybrid is expected to have slightly higher total system power.
In its current form, the 2.0-litre turbo petrol engine generates 203 PS and 380 Nm of torque. It is paired with 6MT or 6AT transmission. This engine is also likely to be used for the flex fuel version of the XUV 7XO. Mahindra had earlier showcased its flex fuel technology with the XUV 3XO at the 2025 Bharat Mobility Show. The XUV 3XO was equipped with a flex fuel 1.2-litre 3-cylinder, turbocharged engine. It had the necessary changes to support ethanol blends from E20 to E85.
Hybrid Sales FY2026
Toyota and Maruti currently dominate the hybrid segment in India. Sales of hybrid cars cross 1.23 lakh units in FY2026. The best-selling hybrid car in FY2026 was the Innova Hycross, which contributed 49.7% to total hybrid sales. The Toyota Hybrid came in second place, contributing 28.4% to overall hybrid sales. Another significant contributor was Maruti Grand Vitara with 9.3% share. The number of other hybrid cars like Invicto, Victoris and Honda City e:HEV was relatively less in FY2026.
