Currently, Nexon is the king not only of the sub-4m SUV segment but also of Indian cars in general. It has been the best-selling car in India for the past few months. Rival automakers like Hyundai, Kia and Skoda have tried to take over its throne, but to no avail. But this hasn’t demotivated Volkswagen, as it plans to bring out its own Nexon rival. Here are all the details you should know.
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Volkswagen’s Sub-4m SUV
Volkswagen’s sibling company, Skoda, have received a decent response with the Kylaq. The German automaker will try to replicate its success with its own iteration of the Kylaq. Volkswagen has already announced it will launch 4 models this year: 2 SUVs, 1 Sedan, and 1 hatchback. And the 2 SUVs have already been revealed – the Tayron R-line and Taigun facelift, which means that the sub-4m SUV will be coming next year.
We expect its compact-SUV to be based on the Tera, which is sold in Brazilian markets. The Tera is slightly longer than the 4m limit, but we expect Volkswagen to trim the length by around 100 mm to fit within the sub-4m tax bracket.
It is a smart-looking SUV, and if launched in India, it would be one of the best-looking in the segment. The design language matches that of other Volkswagen models, such as the Tiguan R-Line. The blacked-out elements, like the alloys, grille, and roof, give it a sporty look, which is quite suitable, as VWs are known for their sporty driving dynamics.
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Sub-4m VW SUV – Features
Brazilian-spec VW Tera Interiors Used For Reference
The feature list would be identical to the Kylaq and would include amenities such as –
- 10-inch infotainment screen
- Electric sunroof
- Rear parking camera
- Front ventilated seats
- Cruise control
- Powered front seats
- Leatherette seats
- Electrically-adjustable ORVMs with auto-fold
- Wireless charging
- 8-inch digital driver’s display
- 6-airbags
Its rivals, like the Nexon and Venue, offer features such as a panoramic sunroof and an ADAS suite, but it is unlikely that the Tera will get them, since the Kylaq misses out on them.
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Powertrain
We expect it to be offered with the same 1.0-litre TSI (114 bhp & 178 Nm) mated to either a 6-speed manual or a 6-speed AT. The Brazilian-spec gets the same powertrain but with lower performance figures. A glaring omission is the 7-speed DSG, which makes the Volkswagen turbo-petrol models so fun to drive. If the demand is high, Volkswagen could offer the Tera with a more powerful engine tune and a 7-speed DSG in the near future.
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Sub-4m VW SUV – Expected Pricing & Launch
If Volkswagen want to take over the throne of “king of compact-SUVs”, the Tera would need to be priced aggressively. We expect it to be priced between Rs 9 lakh and Rs 16 lakh (on-road, Mumbai). The popularity of a Volkswagen remains high, so if it plays its cards right, the Tera could be a huge success.
It is highly unlikely that the Tera will be launched this year, as 2026 is already pretty packed. We could see it launched by mid- to late-2027. With the next-gen Nexon expected to arrive soon, Volkswagen would need to time its launch perfectly to have any chance at success.
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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! 🏍️🚗