Volkswagen Plans To Launch Kylaq-Based Compact SUV in 2027

Volkswagen is reportedly aiming to enter the sub-four-meter SUV segment in India with a new compact model set for mid-2027. This SUV could likely be called the Tera, and would fill a gap in its lineup below the Taigun, where sister brand Skoda already offers the Kylaq, which has been selling in good volumes.

Design and Platform

The Indian-spec Tera will be a badge-engineered model, sharing the MQB-AO-IN platform with the Kylaq, but featuring distinct styling to match Volkswagen's design language. 

Expect design inspirations from the Taigun, including an aggressive front grille, rectangular headlamps, connected taillights, and GT-Line variants with sporty black accents on the exterior for a bolder look. The overall shape will stay compact, likely similar to the international-spec Tera.

Features

Expect the SUV to be feature-packed, with ventilated front seats, a 10.1-inch touchscreen infotainment system, an 8-inch digital instrument cluster, and an electric sunroof, as seen on the Kylaq. Volkswagen could one-up Skoda by offering some additional features, though Skoda is expected to do the same with the facelifted Kylaq eventually. 

Safety is expected to be strong with 6 airbags, ESP, ABS with EBD, ISOFIX child seat mounts, and 3-point seatbelts for all occupants standard across the range. Being based on the same platform, the Kylaq's 5-Star Bharat NCAP rating would most likely apply to this car as well.

Also Read: Skoda Slavia Now Pricier By ₹33,690

Powertrains

The powertrain is expected to mirror the Kylaq's setup. It will use a 1.0-litre three-cylinder turbo petrol engine producing around 114 horsepower and 178 Nm of torque. 

Transmission options are likely to include a six-speed manual and possibly an eight-speed torque converter automatic, most recently seen on the Skoda Kushaq. This unit will also make its way into the Volkswagen Taigun facelift and the rest of the Skoda and Volkswagen models.

Volkswagen Compact SUV Launch Date and Price

Volkswagen is expected to price this sub-compact SUV very close to the Kylaq, likely ranging from about ₹8.00 lakh rupees and going up to ₹14 lakh ex-showroom, making it a value-for-money choice in the segment, just like the Skoda. This would position it strongly against other rivals like the Tata Nexon, Hyundai Venue, Kia Sonet, and Maruti Brezza.

Volkswagen could potentially call this sub-compact SUV something else, though "Tera" could be a very likely name. 

Images Source: Volkswagen Brazil