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Mahindra Flex-Fuel Engines Under Development – Future SUVs to Support E30+

Sunil Patil by Sunil Patil
August 24, 2025
in CARS, India Car News
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Mahindra Developing Flex-Fuel Engines for Future SUVs in India

India’s shift towards higher ethanol blending in petrol is gathering pace, with the government targeting E30 fuel (30% ethanol blend) by 2030. While most cars sold since April 2023 are already E20 compliant, the move to E30 and beyond will require significant engineering upgrades. In line with this, Mahindra is developing flex-fuel engines for its upcoming SUV lineup, ensuring future readiness in a rapidly evolving fuel landscape.

Why Flex-Fuel Engines Matter

Ethanol offers several benefits: it reduces crude oil imports, cuts emissions, and supports India’s long-term energy independence. However, it also brings challenges. Compared to pure petrol, ethanol has lower energy density, meaning fuel efficiency can drop by 15–30%. It is also more corrosive, which can damage seals, gaskets, and hoses if traditional materials are used.

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For engines to reliably run on E30 and higher ethanol blends, manufacturers must:

  • Use ethanol-resistant materials (stainless steel, anodized aluminium, and special polymers) in fuel lines, tanks, pumps and injectors.
  • Add ethanol-content sensors for real-time detection, allowing the ECU to fine-tune spark timing, air–fuel ratio, and injection.
  • Integrate fuel rail and injector heaters to ensure smooth ignition in cold weather.
  • Recalibrate the ECU to balance performance, emissions, and efficiency.

Mahindra’s Flex-Fuel Strategy

Mahindra has already showcased its progress: the XUV300 Flex-Fuel prototype at the 2024 Bharat Mobility Expo. Powered by a 1.2-litre three-cylinder turbo-petrol engine, the prototype could run on E20 to E85 blends while maintaining its 110hp and 200Nm output.

Now, Mahindra is scaling this effort for its future SUV portfolio, ensuring its engines are E30-ready and capable of handling higher ethanol blends when required. By taking a proactive approach, Mahindra is positioning itself as one of the first Indian SUV makers to fully support the government’s ethanol roadmap.

Industry Context: Who Else is Onboard?

At the 2025 Auto Expo, several manufacturers joined the flex-fuel push:

  • Hyundai displayed the Creta 1.0 Flex Fuel.
  • Tata showcased an E85-compatible Punch.
  • Maruti Suzuki unveiled the Wagon R Flex Fuel.
  • Toyota took a different route, presenting the Innova Hycross hybrid that can operate on E20 and higher ethanol-rated fuels.

This clearly shows a wider industry transition is underway, with multiple OEMs preparing their most popular models for ethanol-based fuels.

Looking Ahead

For Mahindra, flex-fuel engines represent not just compliance with regulations, but also a chance to build SUVs that are future-proof in a market rapidly shifting towards alternative fuels and electrification. While the company hasn’t announced a clear timeline for production-ready flex-fuel SUVs, prototypes and engineering trials are already underway.

As India gears up for its E30 blending target by 2030, Mahindra’s early investments in flex-fuel technology could give it a significant first-mover advantage in the SUV space.

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