If the Hyundai Creta is the king of mid-size SUVs, then the Tata Nexon is the leader of the compact SUV segment. With over 22,000 sales in September, October & November, the Nexon has consistently been the best-selling car in India. Now, to challenge the dominance of the Nexon, two of India’s favourite brands will be launching new SUVs in 2026! One of which will be a Japanese product, while the other will be a German product that will possibly wear a legendary nameplate.
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Upcoming SUVs Under Rs 15 Lakh – Japanese Nexon Rival


So, let’s begin with the Japanese SUV and discuss about the legendary German later. Currently, Toyota, Maruti, Nissan & Honda are a few Japanese brands that are selling their cars in India. Among these, it will be Honda to launch a new Nexon rival. Talking of which, Honda is expected to launch its Nexon rival in the second half of 2026. Honda currently has only one SUV – the Elevate, which has been a struggling product for the brand. So, to boost its sales, the brand is eyeing to enter one of the hot-selling segments of compact SUVs. As of now, we do not have any details of what the compact Honda SUV will offer. However, there are chances that it will be based on the brand’s compact sedan – the Amaze.
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Yes, the upcoming Honda SUV will be underpinned by the current Amaze platform. It is a modified version of the Global Small Car platform that underpins the City. It also makes sense for Honda to use the same platform, as it recently helped the Amaze to achieve a 5-star safety rating. Additionally, the platform is designed to offer impressive cabin space as seen on the Amaze. And to take on the likes of the Tata Nexon, a spacious cabin will be an essential factor. It will borrow a few elements from the Amaze as well as the Elevate. This includes a bold front grille & slim LED headlamps. The overall silhouette will be boxy to offer sufficient headroom. The interior & features will also share some similarities with the mentioned Honda cars. Right from the touchscreen to the advanced technology like ADAS is expected to be offered.
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In terms of engine options, the Honda SUV should come with the 1.2-litre NA petrol engine (88bhp & 110Nm). This will be introduced to take advantage of GST benefits. This engine currently powers the Amaze, and for the SUV version, we can expect a slight power bump. Gearbox options should include manual & CVT, which are common across every Honda car on sale in India. Pricing-wise, Honda will try to undercut the Nexon, which is currently priced between Rs 9.21 lakh & Rs 17.06 lakh (on-road, Mumbai).
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German Nexon Rival


The next SUV expected to rival the Tata Nexon is the Volkswagen Polo! Shocking right? Well, although the nameplate is speculative, previous hints do support our claims, and we will discuss them in a bit. Talking about the VW Polo SUV, it will likely be the VW Tera that is currently on sale in some global markets. The Tera, as we all know, is VW’s iteration of the Skoda Kylaq! And looking at the success of the Kylaq, Volkswagen will launch the Tera in India under the Polo nameplate. The launch timeline has not yet been confirmed by VW, but we expect the SUV to launch sometime in 2026.
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Being based on the Skoda Kylaq, the VW SUV shares the same platform and engine options with the Skoda SUV. So, the VW SUV will be based on the MQB-AO-IN platform, which Skoda has specifically developed for the Indian market. Every Skoda & VW car in India that is based on this platform has already scored 5-star safety ratings, and the same can be said for the new VW SUV. In terms of design, though, it will be different from the Kylaq. We have already seen the VW Tera, which draws design inspiration from some of the high-end VW cars.
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The interior design will also be different from the Kylaq, but we do expect to share the feature list. The Kylaq comes with powered & ventilated front seats, an 8-inch digital instrument cluster, a 10-inch touchscreen system, an 8-speaker sound system and more. And yes, Kylaq’s 1.0-litre turbo petrol engine (114bhp & 178Nm) with manual & AT gearbox, is expected for the VW SUV!
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Now, why Volkswagen Polo? Well, VW India once hinted that the brand might relaunch the Polo nameplate in India for an SUV! So, to rival the likes of the Tata Nexon, VW may revive the Polo nameplate for this.

Hi, I’m Ravindra Meena , a bike and automobile enthusiast. I share honest reviews, mileage tests, and latest updates about bikes, cars, and EVs to help you make the right choice. Stay connected for real-world insights and trending auto news! 🏍️🚗