The people mover from Mahindra and Mahindra, Xylo, was a huge hit, clocking heavy bookings soon after its launch. Now the guys at Mahindra and Mahindra have brought out a new variant of the popular Mahindra Xylo called the Mahindra Xylo D2 MDi.

This variant has everything carried forward from the older model, be it the features that made the Xylo unique or the humongous interior space that competed for a slot with the current market leader, Toyota Innova.

This new engine of the Xylo D2, MDi CRDe engine promises much more fuel efficiency, reduced emissions, lower maintenance cost and spare parts cost.

Though the original Mahindra Xylo offers a four cylinder turbocharged diesel engine that churns out 112 bhp, the Mahindra Xylo D2 sports 2.5 litre MDi CRDe engine that generates 95bhp and 215Nm of Torque and compiles the current BS III emission norms.

Mahindra Xylo D2 is married to a 5-speed manual transmission and claims fuel efficiency of 13kmpl. This conveys one thing that the D2 certainly will be adequate on good roads and in cities and fleet owners surely will make a dash for this variant as they do not care about the power and torque of the vehicle.

This move of Mahindra has kept us wondering if the about the earlier promised Xylo mHawk engine will ever come to the Indian market.

The Mahindra Xylo D2 MDi will be available in three colours, gold shimmer, mist silver and fiery black. Mahindra Xylo D2 is priced at Rs 630000 lakhs (ex-showroom, Delhi).

The Xylo D2 will be on display at the Mahindra pavilion at the Auto Expo 2010.