Upcoming Compact SUVs India 2025: Mahindra to Tata Gear Up for a Festive Showdown

Updated On: 29/09/2025

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Upcoming Compact SUVs India 2025

India’s compact SUV market is getting hotter than ever. With GST rates dropping and the festive season around the corner, carmakers are racing to launch their newest models to attract buyers. From Mahindra to Tata and Hyundai, several exciting vehicles are about to hit showrooms.

If you’re planning to upgrade your ride or buy your first SUV, here’s a detailed look at the upcoming compact SUVs launching in India, packed with fresh designs, powerful engines, and feature-rich interiors.

Updated Mahindra Thar 3-Door: A Rugged Icon Gets Modern Touches

Mahindra’s legendary off-roader is getting a major refresh. The updated Mahindra Thar 3-Door is expected to debut within weeks, and spy shots have already revealed a host of upgrades. While its iconic boxy exterior remains familiar, the cabin is set for a tech makeover.

Buyers can expect:

A larger touchscreen infotainment system for a more connected experience.
A brand-new steering wheel and a front centre armrest for improved comfort.
Rear AC vents to keep backseat passengers cool during long drives.

Engine options will remain the same, offering plenty of punch:

1.5-litre diesel engine
2.2-litre mHawk diesel
2.0-litre mStallion turbo-petrol

The rugged capability of the Thar combined with these modern updates makes it one of the most anticipated compact SUVs launching in India this year.

Tata Punch Facelift: A Bestseller Levels Up

Tata Motors is ready to give its best-selling micro-SUV a bold new look. The Tata Punch facelift will feature a redesigned exterior and upgraded interiors to keep it fresh against rising competition.

What’s new inside and out:

A free-standing infotainment screen for a premium feel.
A stylish two-spoke steering wheel and square AC vents.
A dual-tone interior theme for a more youthful vibe.

Powering the facelifted Punch will be the proven 1.2-litre petrol engine, available with both petrol and CNG options. This combination of style and efficiency ensures the Punch remains a top choice among compact SUV buyers in India.

Next-Gen Hyundai Venue: Premium Features Galore

Hyundai is preparing to roll out the next-generation Hyundai Venue on October 24. Already spotted testing several times, the new Venue promises a fresh design inspired by the bigger Creta, along with segment-leading features.

Expected highlights:

A panoramic sunroof and a 360-degree camera for added luxury and convenience.
Level 2 ADAS (Advanced Driver Assistance Systems) for enhanced safety.
A completely redesigned cabin layout with premium materials.

Under the hood, Hyundai will stick with its reliable engines:

1.2-litre petrol
1.0-litre turbo-petrol (tGDi)
1.5-litre diesel

The Venue has always been a favourite among urban SUV buyers, and the new version looks ready to set a new benchmark in the compact SUV market.

Mahindra XUV3XO EV: Electric Power for the Future

Mahindra is doubling down on electric mobility with the Mahindra XUV3XO EV, set to launch by the end of the year. Internally codenamed S240, this sub-4-metre electric SUV will replace the XUV400 EV and compete directly with the Tata Nexon EV and the upcoming Kia Syros EV.

Key details we know so far:

Buyers can select between 34.5 kWh and 39.4 kWh battery configurations.
Expected to deliver close to 400 km of travel on one charge.

Expected starting price: around ₹15 lakh (ex-showroom).

With India’s EV market growing fast, the XUV3XO EV is poised to become one of the most exciting upcoming compact SUVs launching in India, especially for buyers looking to switch to electric without compromising on performance or style.

Mahindra Bolero Neo Facelift: A Trusted Name Reinvented

The iconic Bolero nameplate is also getting a modern makeover. The Mahindra Bolero Neo facelift has been spotted testing with a fresh new front fascia.

What’s changing:

New LED headlamps with integrated DRLs.
A redesigned grille and updated front bumper.
Likely interior upgrades with new features for a more premium feel.

The Bolero Neo will continue to draw power from the tried-and-tested 1.5-litre mHawk100 turbo-diesel engine, producing 100 bhp and 260 Nm of torque. This combination of rugged reliability and fresh styling should help Mahindra attract both loyal fans and new buyers.

Why This Wave of Compact SUVs Matters

The timing of these launches couldn’t be better. With GST reductions lowering car prices and the festive season traditionally boosting demand, manufacturers are keen to make a splash. Compact SUVs are among the hottest-selling vehicles in India because they combine urban practicality with the feel of a larger SUV, making them perfect for city commutes and weekend getaways alike.

Shoppers can look forward to:

Modern Tech: Panoramic sunroofs, ADAS, large infotainment screens, and AI-powered features.

Multiple Fuel Options: From turbo-petrol and diesel to fully electric powertrains.

Aggressive Pricing: With festive discounts and introductory offers, buyers can expect attractive deals right from launch day.

Final Thoughts

From Mahindra’s rugged off-roaders to Hyundai’s feature-packed Venue and Tata’s stylish Punch, the list of upcoming compact SUVs launching in India offers something for everyone. Whether you want an adventure-ready diesel, a city-friendly petrol, or a futuristic EV, these upcoming models ensure that buyers will be spoiled for choice.

With launches just weeks away, this festive season is shaping up to be a blockbuster for India’s auto industry. If you’re planning to buy a new compact SUV, now is the time to watch the market closely—because the next few months will redefine what Indian car buyers can expect from this red-hot segment.